HIPAA Administrative Simplification

The 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.  An experienced service bureau or clearinghouse will be able to convert your paper claims according to the standards set fourth by HIPAA with little effort.

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.

  • Less setup for new claims submitters (One size fits all)
  • Easier training for new staff
  • Faster payments


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