HIPAA Statement

The Health Insurance Portability and Accountability Act (HIPAA) establishes individual's rights regarding privacy and confidentiality of personal medical information. This act was developed to give guidelines for how information is handled, but in most cases no specifics as to how this would be accomplished. It requires Healthcare Providers to adopt safeguards to protect the confidentiality of medical information.

Medical facilities all over the country have started the process of ensuring the security of their medical records in accordance with this new act. The burden of the security of the data lies firmly in the hands of the facility, but vendors can also help these facilities meet their security goals. Fletcher-Flora Health Care Systems, Inc. is taking an active role in understanding the requirements and making recommendations to our customers, as well as making certain modifications to our products to help in these activities. We have also introduced our own internal process to make sure our people understand our responsibilities when we come into contact with protected patient information and our obligations to uphold this security.

It is our firm and stated goal that our products meet the intent of the ACT and we will offer assistance to our customers in this compliancy process. It is well understood that there is a lot of general language in this ACT which is open to interpretation. It is clear that this was the intent of the authors. This allows for multiple solutions to a problem, not just one clear path. Fletcher Flora is committed to providing the highest standards for the software we produce at a price our customers can afford.

Although there are published dates for these guidelines to be implemented, these dates have often been changed and extended. We are working to the latest published dates and are basing all changes and updates on these dates.

For our customers who are on support contracts and at version 4.50.00 or above, Fletcher Flora will provide software updates in advance of the Security portion of the HIPAA regulations that have gone into effect as of April 2005. These updates will be given with enough advance notice to ensure our customers can be in compliance by the currently published deadline and will address the main issues of data security and audit tracking of Patient Protected Information.

It is important to understand that the security issues related to the HIPAA regulations not only affect the LabPak® software, which Fletcher Flora will update appropriately, but also the Operating System your computers use. Although not clearly stated by HIPAA, Windows Operating Systems prior to Windows 2000, such as, Windows 95 and Windows 98, generally will not stand up to the security requirements to protect Patient Information. If the access to the Laboratory Information System can be secured in total (typically in an area that is secure like a locked room) then there is a good argument that the Patient Information is secure. However, if limited access cannot be guaranteed, then the security of the Operating System will become the predominant security vehicle to protect information. As you may have read or seen on TV, Windows Operating System versions prior to Windows 2000 do not provide adequate security through passwords to meet the intent of the regulations. It would be best for our customers with Windows 95 or Windows 98 to update their Operating System to one that provides a more secure environment. We strongly recommend that you have the Operating System on your computers updated to ensure compliance with the HIPAA regulations. Fletcher Flora stands ready to help our customers make that decision. The version of your Operating System is not covered by Fletcher Flora’s Support Contracts, and although we will be happy to provide suggestions on having your Operating System upgraded, the costs associated with upgrading your Operating System are your responsibility.

One final note: Fletcher-Flora implemented policies and procedures as a vendor to protect Protected Patient Information and the Business Agreement requirements of HIPAA over a year ago. Each of our customers are required by HIPAA to have a Business Agreement in effect with any vendor who may have access to Protected Patient Information. This Business Agreement in general stipulates that the Vendor (Fletcher-Flora, Inc. in this case) will protect any Patient information it has access to, within the guidelines of HIPAA. If you have not already completed your Business Agreement with Fletcher Flora, Inc., please contact the executive assistant, Pat Wasserburger, at 1-800-777-1471 or by e-mail at patw@labpak.com, and she will provide a signed copy for you. In addition you should assure that any vendor that has access to Protected Patient Information, has a Business Agreement with you so that you will be in compliance with the HIPAA standards.

Neal P. Flora
President and CEO
Fletcher-Flora Health Care Systems, Inc.