HIPAA Administrative SimplificationThe primary goal of the Administrative Simplification portion of HIPAA is to simplify
and streamline the administration of health care. Essentially, standards are created to facilitate various types of health care electronic
transactions. No one insurer can ask any claims submitter to file in any other electronic formats other than those mandated by HIPAA.
A little bit of work up front will pay off in time. If you use an experienced service bureau or clearinghouse to process your
claims, they will be able to convert your paper claims according to the standards set fourth by HIPAA with little effort. Once you successfully
submit claims in the HIPAA standard ANSI 837 format, submitting to another insurer will be a piece of cake.
Under the old system, one health care provider could require all claims submissions to be in a HL7 format while another could
require a custom text string. There were about 400 different ways to submit an electronic claim before HIPAA. Now there is one way, HIPAA's
Way.
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