Ace the HIPAA Basics Challenge 2026 – Secure Your Healthcare Knowledge!

Covered entities can use protected health information (PHI) for fundraising purposes under specific circumstances and typically require prior notification to the patient. The HIPAA Privacy Rule allows for limited use of PHI for fundraising as long as certain conditions are met.

Covered entities must provide patients with a clear and understandable notice that includes information on the intended use of their PHI for fundraising activities. Moreover, they must allow patients the option to opt-out of such fundraising communications. This framework ensures that patients are informed and have a degree of control over how their information is used, aligning with the overall purpose of HIPAA, which is to protect patient privacy while still allowing for the necessary operations of health care entities, including fundraising efforts.

The options that suggest PHI cannot be used at all or that consent is always needed do not accurately reflect the guidelines set forth by HIPAA. Additionally, the idea that PHI can be used as long as personal identifiers are not disclosed does not cover the requirement for notification and the patient's right to opt-out, which are essential components of using PHI in fundraising.