Which statement about HIPAA is NOT true?

Which statement about HIPAA is NOT true?

• A. New employer plan may limit coverage due to pre-existing condition
• B. Improves access to long term care
• C. If health insurance is lost, improves access to group health plan
• D. Protects use of health savings accounts

Answer: (A)

HIPAA’s main idea in this area is to improve portability of health coverage and limit preexisting-condition barriers when people move between plans. It generally prohibits new group health plans from imposing preexisting-condition exclusions on individuals who have creditable coverage, and it strengthens enrollment rights so a person can join a group plan after losing other coverage without being denied for existing conditions. That’s why the statement about a new employer plan limiting coverage due to a preexisting condition isn’t true. Under HIPAA, such preexisting-condition exclusions are restricted, and coverage must be available to individuals who meet the creditable-coverage requirements. The other statements touch on related safeguards (such as obtaining access to a group plan after losing coverage) or lie outside HIPAA’s core protections (long-term care and HSAs are governed by different laws), which is why the preexisting-condition limitation claim is the best answer for what HIPAA does not permit.

HIPAA’s main idea in this area is to improve portability of health coverage and limit preexisting-condition barriers when people move between plans. It generally prohibits new group health plans from imposing preexisting-condition exclusions on individuals who have creditable coverage, and it strengthens enrollment rights so a person can join a group plan after losing other coverage without being denied for existing conditions.

That’s why the statement about a new employer plan limiting coverage due to a preexisting condition isn’t true. Under HIPAA, such preexisting-condition exclusions are restricted, and coverage must be available to individuals who meet the creditable-coverage requirements. The other statements touch on related safeguards (such as obtaining access to a group plan after losing coverage) or lie outside HIPAA’s core protections (long-term care and HSAs are governed by different laws), which is why the preexisting-condition limitation claim is the best answer for what HIPAA does not permit.