Why are HIPAA violation penalties so expensive?

The HHS’ Office for Civil Rights is the main enforcer of HIPAA Rules and investigates complaints of HIPAA violations reported by healthcare employees, patients, and health plan members. There have been notable updates to HIPAA to improve privacy protections for patients and health plan members over the years which help to ensure healthcare data is safeguarded and the privacy of patients is protected and HIPAA violation penalties are the consequence of these HIPAA improvements procedure.

It should avoid entirely from all possible HIPAA violation because penalties for noncompliance are based on the level of negligence and can range from $100 to $50,000 per violation (or per record), with a maximum penalty of $1.5 million per year for violations of an identical provision.

It is stated that all accidental violations of HIPAA be reported to the covered entity within 60 days of discovery, keeping in mind that notification should be sent as soon as possible and no unnecessary delay should impede notification.