What is the maximum fine for a HIPAA violation?

The maximum fine for a HIPAA violation is established under the HITECH Act, which outlines penalties that can be imposed for non-compliance with HIPAA regulations. The law categorizes violations into tiers based on their severity and the nature of the violation, with fines escalating accordingly.

The correct choice reflects that a covered entity can face a maximum fine of up to $1.5 million for violations that occur over a calendar year. This limit serves to emphasize the seriousness of protecting patient health information and ensures that organizations are held accountable for safeguarding personal health data.

This fine structure is designed to promote compliance by providing financial consequences that are significant enough to encourage adherence to HIPAA rules while allowing for differentiated penalties based on the nature of the violation. Examples of violation categories include willful neglect that has been corrected, and those not corrected, which can significantly influence the actual penalty imposed.

In contrast, other options present figures that do not align with the stipulations laid out in current HIPAA laws, as they either exceed the established maximum or misrepresent the nature of penalties related to HIPAA violations. Thus, understanding that the cumulative maximum fine per calendar year can reach $1.5 million helps clarify the importance of compliance for healthcare organizations.