In 2022, the healthcare industry witnessed an embrace of blockchain technology, with its market share in the supply chain management application category surpassing 26%. Blockchain networks approved for healthcare can reduce fraud, costs and improve data management and security.
HIPAA audits are detailed evaluations performed to ensure that covered entities and their business associates fully comply with the provisions of HIPAA. These audits are conducted by the Office for Civil Rights (OCR), a division of the U.S. Department of Health and Human Services (HHS). The primary focus of HIPAA audits is to safeguard patient health information, ensuring it is handled with the utmost care regarding privacy and security.
During these audits, the OCR reviews the entity's policies, procedures, and operations to assess adherence to the HIPAA Privacy, Security, and Breach Notification Rules. This includes examining the physical, administrative, and technical safeguards an organization has implemented to protect patient data. Auditors also evaluate the training and awareness programs for staff regarding HIPAA compliance.
The process aims to identify compliance gaps and weaknesses and provide feedback and guidance for strengthening privacy and security measures. In cases of non-compliance, the OCR may require corrective actions or impose penalties.
See also: Basics of the blockchain in healthcare
Immutable audit trails: Blockchain creates an unalterable record of all transactions, including access to and modifications of protected health information (PHI), providing auditors with a transparent and tamper-proof audit trail.
Automated compliance checks: Smart contracts can be programmed to automatically enforce HIPAA rules, such as access controls and consent requirements, reducing the manual effort needed to ensure compliance.
Enhanced data integrity: The decentralized nature of blockchain ensures that data is not stored in a single location, reducing the risk of data tampering and loss, and ensuring the integrity of PHI throughout its lifecycle.
Real-time monitoring: Blockchain enables real-time monitoring of access to PHI, allowing healthcare organizations to promptly detect and address any unauthorized access or other compliance issues, facilitating ongoing compliance management.
Efficient data access management: Blockchain allows for the implementation of sophisticated access control mechanisms that ensure only authorized individuals can access specific pieces of PHI, in line with the minimum necessary standard required by HIPAA.
Streamlined reporting: In case of a data breach or other compliance issue, blockchain's transparent and immutable ledger allows for quick and accurate reporting to regulatory bodies, in compliance with the HIPAA Breach Notification Rule.
Decentralized identity verification: Blockchain facilitates secure and efficient verification of the identities of individuals accessing PHI, reducing the risk of unauthorized access and ensuring that access logs accurately reflect user activities for audit purposes.
Consent management: Blockchain can manage patient consent for the use of their PHI in a dynamic, secure, and easily auditable manner, ensuring that any use of PHI is in compliance with patient preferences and HIPAA requirements.
See also: Challenges with using blockchain technology in healthcare
The logistics of deploying blockchain technology start with a clear understanding of the healthcare challenges it aims to address, such as enhancing patient data security, streamlining supply chain management, or facilitating seamless data sharing among disparate healthcare systems. For organizations of all sizes, accessibility to blockchain technology is promoted through various platforms and services that offer customizable solutions. Small organizations might leverage blockchain-as-a-service (BaaS) offerings from major cloud providers, which allow them to use blockchain technology without the need to develop and maintain the infrastructure in-house. Larger organizations, with more resources, might opt for custom-developed blockchain solutions that are tailored to their complex requirements.
The choice between a public, private, or consortium (permissioned) blockchain depends on the specific use case and the required balance between transparency, security, and control. Healthcare applications, given their sensitivity and regulatory requirements such as HIPAA compliance, typically benefit from permissioned blockchains. These blockchains restrict access to approved participants, providing a secure and controlled environment for managing health data.
Blockchain technology is not a one-size-fits-all application that organizations can simply download and implement. Instead, it requires careful planning, development, and integration with existing IT systems. The development can be done in-house for organizations with the requisite technical expertise, or it can be outsourced to specialized firms that design and implement blockchain solutions. Additionally, BaaS platforms can simplify the process by offering pre-built blockchain infrastructure and tools, making blockchain more accessible to organizations without the need for extensive development.
See also: HIPAA Compliant Email: The Definitive Guide
What are the three types of blockchain?
The three types of blockchain are public blockchains, private blockchains, and consortium (or permissioned) blockchains.
What is the purpose of blockchain?
The purpose of blockchain is to provide a decentralized, secure, and transparent method for recording transactions and data across a distributed network, ensuring integrity and trust without the need for a central authority.
How does blockchain handle consent management in healthcare?
Blockchain handles consent management in healthcare by utilizing smart contracts to securely automate the consent process, ensuring that patient data is accessed and shared in compliance with the patient's preferences and regulatory requirements.