Not Yet HIPAA CompliantNot Yet HIPAA Compliant

Health-care providers, hospitals, and other businesses in the field have until midweek to comply with the Health Insurance Portability and Accountability Act's electronic transaction and code regulations. Many will miss the date: As of late last week, nearly 400,000 of 2 million health-related organizations had applied for a one-year extension to achieve HIPAA-compliance, says a spokesman at the Centers for Medicare and Medicaid, which is overseeing those regulations. Companies that won't be compliant in time and don't request an extension face fines.

St. Joseph Health System, which has 15 hospitals in California and Texas, has applied for the extension, says Bill Lazarus, assistant VP of technology and communication. "You really have to, because nearly none of the payers are compliant yet." The Centers for Medicare and Medicaid isn't ready, either, the spokesman says. It has filed for an extension to conduct more technology work.