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For example: A hospital may use protected health information about an individual to provide health care to the individual and may consult with other health care providers about the individuals treatment.
The rule-of-thumb distinction between use and disclosure is that use refers to sharing or using PHI within the HIPAA-covered parts of an entity, and disclosure refers to releasing information outside the HIPAA-covered parts of the entity.
The Privacy Rule at 45 CFR 164.510(b) permits a health plan (or other covered entity) to disclose to a family member, relative, or close personal friend of the individual, the protected health information (PHI) directly relevant to that persons involvement with the individuals care or payment for care.
TPO Disclosures: Treatment Sharing PHI with other departments or an external provider (ex. Pharmacy) Consulting specialists or gaining referrals from third parties. Ordering tests (ex. Labs) Communicating with other staff members as needed.
The HIPAA Privacy Rule allows covered entities to disclose individuals protected health information (PHI) for purposes of treatment, payment, and health care operations (TPO). HIPAA does not require a written authorization, consent, or any other form of release for most TPO disclosures.
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Obtaining consent (written permission from individuals to use and disclose their protected health information for treatment, payment, and health care operations) is optional under the Privacy Rule for all covered entities.
Elements: A description of the PHI. The name of the person making the authorization. The name of the person or organization who is authorized to receive the PHI. A description of the purpose for the use or disclosure. An expiration date for the authorization. The signature of the person making the authorization.
Under the HIPAA Privacy Rule, a covered entity must disclose protected health information in only two situations: (a) to individuals (or their personal representatives) specifically when they request access to, or an accounting of disclosures of, their protected health information; and (b) to the Department of Health

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