Health Care Quality Improvement Act 1986


Major focus of HCQIA

A major piece of legislation was passed in 1986 which relates to clinical quality management.  The Health Care Quality Improvement Act (HCQIA) addresses protection from legal liability when professionals are involved in peer review activities.  With this act, doctors and nurses and other healthcare professionals can participate in quality review activities without fear of personally being sued (held liable) for their review actions.  Hospitals and other healthcare institutions and providers can have active programs to look at quality of care issues.

The second major section of HCQIA establishes the National Practitioner Data Bank (NPDB).  This federally sponsored database receives reports about malpractice decisions, denial of medical staff privileges and loss of medical license.  Reporting is required at multiple levels and by multiple organizations.

 
The doctor can run but he cannot hide

 

Prior to establishment of the National Practitioner Data Bank, physicians could readily move from one state to another when they lost their license to practice medicine, when they had major malpractice settlements, and when they were asked to leave the medical staff of a particular community hospital.  With required reporting, all the information is now logged into the NPDB and physician specific information is available for review by authorized persons.  Examples of data available in the NPDB are:
  • malpractice payments
  • actions by state boards of medical examiners
  • actions by hospitals in changing or denying privileges to perform specific patient care services
  • actions of professional societies
   
Reporting is required by law

The law requires specific organizations to report their findings and actions against specific physicians.  It also requires specific groups (namely hospitals) to inquire what information is available in the NPDB about a specific physician.  Now when a physician applies for medical staff membership and delineation of privileges to provide specific clinical services to patients, that hospital must query the NPDB and secure a report of the physician's past practice history.  This query must also be done during each renewal of medical staff privileges (usually occurs every 2 years) and when the physician requests a significant change of privileges. 

Organizations are subject to a large monetary fine if they do not report physician specific findings and actions to the NPDB.  Hospitals and other healthcare organizations also lose peer review liability protection if they do not check on a physician's record with the NPDB.

Initial reporting and inquiring processes were time intensive.  Today all reporting and queries are done electronically.

The government plans to expand the scope of the National Practitioner Data Bank.  As its name implies, all healthcare practitioner will be included in this major federal information database.

 

 
- Federal agencies
- State agencies
- Key legislation

*

Federal Civil False Claims Act - 1865
* Social Security Act - 1935
* Hill Burton Act - 1946
* Community Health Services and Facilities Act - 1961
* Public Law 89-97 (Medicare/Medicaid) - 1965
* OSHA - 1970
* TEFRA (PPS) - 1982
* COBRA (Antidumping) - 1985
* COBRA (Substandard Care) - 1986
* Health Care Quality Improvement Act (NPDB) - 1986
* Nursing Home Reform Act - 1987
* COBRA (quality/ cost/ effectiveness) - 1989
* Patient Self Determination Act - 1990
* Health Insurance Portability and Accountability Act - 1996
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Last revised: April 2003
© 2003 Barbara C. Hays