What does the term 'covered entity' refer to in the context of HIPAA?

Prepare for the FERPA and HIPAA Test. Study with flashcards and multiple-choice questions featuring hints and explanations to boost your knowledge. Get exam-ready!

The term "covered entity" in the context of HIPAA specifically refers to those organizations and individuals that are required to comply with HIPAA regulations. This includes health care providers who transmit any health information in electronic form, health plans, and health care clearinghouses. These entities are responsible for safeguarding protected health information (PHI) and are obligated to follow the rules established under HIPAA to protect the privacy and security of health information.

Choosing the correct answer reflects an understanding of how HIPAA defines the parties involved in the handling of sensitive health information. Covered entities must implement necessary safeguards and comply with HIPAA's privacy and security rules to protect individuals' health information, ensuring they maintain trust and confidentiality. Other options mentioned, such as organizations providing legal advice, non-profit organizations, and international health organizations, do not automatically fall under the HIPAA regulations unless they meet the specific criteria to be categorized as covered entities.

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