What defines a 'Covered Entity' under HIPAA?

Prepare for the Telemental Health Board Certification Exam. Study with flashcards and multiple-choice questions. Each question comes with hints and explanations. Get ready to excel in your exam!

The correct choice defines a 'Covered Entity' under the Health Insurance Portability and Accountability Act (HIPAA) as a healthcare provider that transmits health information electronically in connection with a HIPAA transaction. Covered entities are specifically defined to include healthcare providers, health plans, and healthcare clearinghouses that handle protected health information (PHI) and engage in electronic health information transactions. This choice correctly identifies the role of healthcare providers in electronic transactions, essential for compliance and protection of patient information under HIPAA regulations.

Other options do not fit the definition of a covered entity. For instance, a school providing health education does not typically engage in the electronic transmission of health information as part of healthcare services. A patient receiving health services is the recipient of care and information but does not qualify as a covered entity because they are not involved in the processing or transmitting of health data. Lastly, a health information website may provide resources or information but does not meet the criteria of a covered entity unless it also engages in specific regulated health information transactions.

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