What is the primary purpose of the HIPAA Privacy Rule?

The primary purpose of the HIPAA Privacy Rule is to establish privacy standards for individuals' medical records and other protected health information (PHI). This rule was designed specifically to safeguard the confidentiality and security of healthcare information, ensuring that individuals' health data is properly protected. It provides individuals with rights regarding their health information, including the right to access their records, request corrections, and receive notice of how their information may be used or disclosed.

By focusing on the establishment of privacy standards, the Privacy Rule helps healthcare entities understand their responsibilities in managing patients' sensitive information. This is fundamental to protecting patients' rights and fostering trust between patients and healthcare providers, which is essential for quality care.

The other options, while relevant to aspects of healthcare, do not directly address the core intent of the Privacy Rule in the context of HIPAA. For instance, while providing guidelines for handling medical records is important, it is not as encompassing as the broader focus on privacy standards. The issues of compensation and regulatory aspects of healthcare costs fall outside the specific scope of the Privacy Rule and are addressed by other regulations and initiatives within the healthcare system.