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Health Insurance in Transition: The Health Insurance Portability and Accountability Act of 1996

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  • Kala Ladenheim

Abstract

The Health Insurance Portability and Accountability Act (HIPAA) of 1996 (PL. 104-191) brings the federal government fully into insurance regulation for the first time. Despite the Republican majority's rhetoric about state control, election-year politics trumped federalism. HIPAA's immediate impact oncoverage may be modest, but its ultimate significance is great because it creates a template for more farreaching federal involvement in regulating insurance. HIPAA amends the Employee Retirement Income Security Act (ERISA), the Public Health Service Act, and the Internal Revenue Code, creating a complicatedstructure dictated by efforts to avoid an unfunded mandate. The history of insurance regulation and the activity surrounding the enactment of PL. 104-191 suggest that HIPAA continues an incremental process of transition between state insurance regulation and federal oversight driven by recent and accelerating changes in the structure of the health-care marketplace. Copyright , Oxford University Press.

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  • Kala Ladenheim, 0. "Health Insurance in Transition: The Health Insurance Portability and Accountability Act of 1996," Publius: The Journal of Federalism, CSF Associates Inc., vol. 27(2), pages 33-51.
    • Handle: RePEc:oup:publus:v:27:y::i:2:p:33-51
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