I think banks as financial institutions are excluded as far as transaction set 
compliance is concerned (unless they start doing other back office functions). 
Exclusion is stated in the federal register (rule- page 50313)

" Finally, section 1179 of the Act makes the above provisions inapplicable to 
financial institutions or anyone acting on behalf of a financial institution when 
''authorizing, processing, clearing, settling, billing, transferring, reconciling, or 
collecting payments for a financial institution."

Sujay Pidara
Radicle Incorporated


>>> [EMAIL PROTECTED] 04/22/02 02:10PM >>>
I am not sure if I sent this to this group previously, if so I
apologize, but it is a good article about banking and HIPAA with a
reference URL.

Regards,

David Frenkel
Business Development
GEFEG USA
Global Leader in Ecommerce Tools
www.gefeg.com 
425-260-5030

Survey: Banks Unprepared for HIPAA
A new survey indicates banks are not ready to comply with provisions of
the Health Insurance Portability and Accountability Act....
http://www.technologyinpractice.com/html/news/NewsStory.cfm?DID=8213 


-----Original Message-----
From: William J. Kammerer [mailto:[EMAIL PROTECTED]] 
Sent: Monday, April 22, 2002 11:59 AM
To: [EMAIL PROTECTED] 
Subject: Re: questions on the appropriate way to reply when there are
error in a transaction request

I think X12N was getting involved only insofar as the "BPR10" issue -
where the HIPAA IGs mandate use of the FEIN to identify the Originator.

I don't think banks have any plans to become Clearinghouses or Business
Associates, unless they have deliberately intended to enter that
business (e.g., back office operations to reformat flat files to 835s or
whatnot).  I don't think there is anything magical about banks or the
ACH network: prudence would dictate that payers exercise caution before
sending an EOB through the banking network which has not been encrypted.
It doesn't even make that much sense anyway: these are two separate
operations -  just send the EOB to the payee directly or through a CE
like a clearinghouse, and separately order the bank to transfer funds.

William J. Kammerer
Novannet, LLC.
+1 (614) 487-0320

----- Original Message -----
From: "Jan Root" <[EMAIL PROTECTED]>
To: <[EMAIL PROTECTED]>
Sent: Monday, 22 April, 2002 01:36 PM
Subject: Re: questions on the appropriate way to reply when there are
error in a transaction request


I could be way wrong or stating the obvious, but I thought banks were
ruled to (possibly) be covered entities when they qualified to be
classified as clearinghouses under HIPAA...?  See quote from FAQ:

"The definition of Business Associate at 45 CFR 160.103 applies
generally to a person or organization that performs, on behalf of a
covered entity, a function or activity involving the use or disclosure
of protected health information or any other function, activity, or
service covered by the Administrative Simplification regulations. If the
network in the question accesses or uses
protected health information on behalf of a covered entity, whether for
translation or payment or quality assurance or other purposes, it is
onsidered a business associate. "

Translating payment data (associated with a particular person - there
may be additional privacy issues possibly involved here as well if banks


get classified as clearinghouses) in and out of the ACH format meets the
definition of a clearinghouse, no?  And the 835 is designed with the
option of sending it to a bank.  I thought this was why Finance got
involved in the discussion with the
835 WG.   They realized that HIPAA might be applied to them.

Let me know if I'm off base here....

Jan Root





**********************************************************************
To be removed from this list, send a message to:
[EMAIL PROTECTED]
Please note that it may take up to 72 hours to process your request.

======================================================
The WEDI SNIP listserv to which you are subscribed is not moderated.
The discussions on this listserv therefore represent the views of the
individual participants, and do not necessarily represent the views of
the WEDI Board of Directors nor WEDI SNIP.  If you wish to receive an
official opinion, post your question to the WEDI SNIP Issues Database at
http://snip.wedi.org/tracking/.
Posting of advertisements or other commercial use of this listserv is
specifically prohibited.



**********************************************************************
To be removed from this list, send a message to: [EMAIL PROTECTED]
Please note that it may take up to 72 hours to process your request.

======================================================
The WEDI SNIP listserv to which you are subscribed is not moderated.  The discussions 
on this listserv therefore represent the views of the individual participants, and do 
not necessarily represent the views of the WEDI Board of Directors nor WEDI SNIP.  If 
you wish to receive an official opinion, post your question to the WEDI SNIP Issues 
Database at http://snip.wedi.org/tracking/.
Posting of advertisements or other commercial use of this listserv is specifically 
prohibited.



**********************************************************************
To be removed from this list, send a message to: [EMAIL PROTECTED]
Please note that it may take up to 72 hours to process your request.

=====================================================The WEDI SNIP listserv to which 
you are subscribed is not moderated.  The discussions on this listserv therefore 
represent the views of the individual participants, and do not necessarily represent 
the views of the WEDI Board of Directors nor WEDI SNIP.  If you wish to receive an 
official opinion, post your question to the WEDI SNIP Issues Database at 
http://snip.wedi.org/tracking/.
Posting of advertisements or other commercial use of this listserv is specifically 
prohibited.

Reply via email to