How can a HIPAA violation hurt your career?

Asked by: Marianne Lakin  |  Last update: May 11, 2026
Score: 5/5 (1 votes)

If you break HIPAA Rules as a member of a covered entity´s or business associate´s workforce there are four potential outcomes: The violation could be dealt with internally by an employer. Your contract of employment could be terminated. You could face sanctions from professional boards.

What happens if you violate HIPAA on the job?

Failure to comply with HIPAA can also result in civil and criminal penalties. If a complaint describes an action that could be a violation of the criminal provision of HIPAA, OCR may refer the complaint to the Department of Justice (DOJ) for investigation.

What are the consequences of a HIPAA violation?

According to the U.S. Department of Health and Human Services Office for Civil Rights (OCR): A person who knowingly obtains or discloses individually identifiable health information in violation of the Privacy Rule may face a criminal penalty of up to $50,000 and up to one-year imprisonment.

How does HIPAA affect what you do on the job?

HIPAA does not cover the protection of data maintained in employment records. HIPAA rules for employers specifically apply to medical or health plan records of employees participating in the company's healthcare plan, not to employment records in general.

Can you get another job after a HIPAA violation?

After a HIPAA violation, employers may decide not to rehire based on internal policies or risk concerns. Being deemed 'not rehirable' often reflects employer discretion rather than legal prohibition. Employees seeking rehire should review company policies and consider requesting clarification or appeal options.

The 11 MOST Common HIPAA Violations

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Does a HIPAA violation go on your record?

In most cases a HIPAA violation does stay on your record so that, if you violate HIPAA again, your employer can look back to see your previous compliance history before applying an appropriate penalty according to the organization´s sanctions policy.

Will a HIPAA violation show up on a background check?

Regardless of the sentence imposed, the HIPAA violation, the consequences of the HIPAA violation, and the penalty for the HIPAA violation will become public record and will show up on a background check.

What are three common HIPAA violations?

There are many different types of HIPAA violations, and the ten most common HIPAA violations that have resulted in financial penalties are: Snooping on Healthcare Records. Failure to Perform an Organization-Wide Risk Analysis. Failure to Manage Security Risks / Lack of a Risk Management Process.

Is a HIPAA violation immediate termination?

Not all HIPAA violations warrant termination, but some infractions justify immediate dismissal, while others require progressive disciplinary action.

What are the 5 main rules of HIPAA?

5 Main HIPAA Rules

  • Privacy Rule. The HIPAA Privacy Rule sets the federal standard for protecting patient PHI. ...
  • Security Rule. The HIPAA Security Rule sets the federal standard for managing a patient's ePHI. ...
  • Transactions Rule. ...
  • Unique Identifiers Rule. ...
  • Enforcement Rule. ...
  • Patients. ...
  • Representatives. ...
  • Covered Entities.

What is the biggest HIPAA violation?

1. Cyberattack and massive PHI exposure: Anthem's $16M settlement. The largest HIPAA settlement to date was made by Anthem, which paid $16 million after attackers stole credentials and accessed systems containing 78.8 million patient records. The breach went undetected for months.

Are HIPAA violations taken seriously?

HIPAA violations, whether they are unintentional or not, can result in severe consequences and substantial fines. Understanding HIPAA regulations is paramount for all behavioral health providers.

How long do HIPAA violations last?

In most cases, HIPAA violation records must be kept for at least six years, anchored to the case's closure or the last effective action. State laws and HR policies may extend retention for personnel files, so default to the longest applicable period.

What are examples of employee HIPAA violations?

What are common examples of employee HIPAA violations? Frequent violations include snooping in charts without a care-related need, sharing logins, discussing patients in public areas, sending PHI to the wrong recipient, disposing of records in regular trash, and losing unencrypted laptops or USB drives.

Can you get fired for breaking confidentiality?

Thus, employees' breach of confidentiality or taking of property/information, depending upon the Employers' Processes, even when discovered after-the-fact, may serve as “after-acquired evidence” of grounds for a justifiable termination, providing some monetary relief for the employer.

What qualifies as a HIPAA violation?

An example of an administrative violation would be to use the wrong codes on a claims transaction, while an example of a civil HIPAA violation would be to deny a patient access to a copy of their Protected Health Information (data breaches also fall into the category of civil HIPAA violations).

What are valid grounds for termination?

Insubordination and related issues such as dishonesty or breaking company rules. Attendance issues, such as frequent absences or chronic tardiness. Theft or other criminal behavior including revealing trade secrets. Sexual harassment and other discriminatory behavior in the workplace.

What is invasion of privacy at work by employer?

In employment law, an “invasion of privacy” generally refers to a situation where an employee feels that an employer violated the employee's rights to privacy. Common invasions of privacy could have to do with disclosure of medical records or illegal surveillance.

What is a level 1 HIPAA violation?

The HIPAA violation penalty structure is broken into four levels based on the severity of the violation and the violator's intent. They are: Tier 1 violations are those in which the covered entity or business associate unknowingly violates HIPAA.

Do you get money for reporting HIPAA violations?

Claim rewards under the False Claims Act

Private individuals can bring lawsuits through a federal law called the False Claims Act. According to the Whistleblower Law Collaborative, successful False Claims Act cases may entitle whistleblowers to a reporting HIPAA violations reward.

What are the three potential consequences of violating HIPAA?

Consequences of HIPAA Violations

Federal civil penalties can range from $100 to $50,000 per violation, while federal criminal penalties can bring fines from $50,000 to $250,000 and imprisonment for up to 10 years. Additionally, state attorney generals can also bring civil and criminal charges.

Can a coworker violate HIPAA?

Yes. A co-worker can violate the HIPAA Privacy Rule by accessing, using, or disclosing Protected Health Information (PHI) beyond what their role permits. PHI includes any individually identifiable health information in paper, verbal, or electronic form.

What will disqualify you on a background check?

Common Reasons for Disqualification:

  • You have a poor employment history. ...
  • You lied on your resume, or there are inconsistencies. ...
  • You have a criminal history. ...
  • You received bad references from previous employers. ...
  • You have a poor credit history. ...
  • You failed a drug or alcohol test. ...
  • You have a bad driving record.

Can my employer see what I do with my health insurance?

If you have any follow-up questions, please feel free to ask them in this thread. Question - In California, do employers have the right to access my medical records or insurance claims? Answer - The short answer is generally no. No employer has the right to access your medical records without your permission.

How do HIPAA violations get caught?

Employee self-reporting: Most HIPAA breaches are identified by staff who witness or suspect a violation. Electronic health record (EHR) monitoring: Many organizations actively track EHR access to detect unauthorized viewing or snooping.