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What is the penalty for a HIPAA violation? HIPAA violations are expensive. The 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. Violations can also carry criminal charges that can result in jail time.
Under the HITECH Act, any HIPAA business associate that serves a health care provider or institution is now subject to audits by the Office for Civil Rights (OCR) within the Department of Health and Human Services and can be held accountable for a data breach and penalized for noncompliance. Understand how a HIPAA business associate agreement impacted a company's cloud migration in this case study from SearchCloudSecurity.com. 2  HIPAA privacy expert David Holtzman says healthcare business associates will be audited. 3  Patient access to health data will be part of audits.