The U.S. Department of Health and Human Services (HHS) has increased civil monetary penalties for violations of the Health Insurance Portability and Accountability Act (HIPAA) Privacy and Security Rules for 2026. These inflation-adjusted penalties reinforce the importance of strong compliance practices for employers sponsoring group health plans.
HIPAA penalties are assessed based on an organization’s level of culpability. Across tiers, the maximum annual penalty for identical violations can reach $2,190,294 per calendar year.

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