Notice of Privacy Practice (NOPP) 10-26 Practice Test 2025 - Free Privacy Practice Questions and Answers

Unencrypted files are considered insecure Protected Health Information (PHI) when stored electronically because they do not incorporate mechanisms to protect the data from unauthorized access. Unencrypted files can be easily accessed and read by anyone who gains access to the storage device, which poses a significant risk to the confidentiality and security of sensitive health information.

In contrast, encrypted files, files with access restrictions, and files that are backed up securely have safeguards that enhance their security. Encryption transforms data into a coded format that can only be read or decoded by someone with the correct decryption key. Access restrictions limit who can access the files, further protecting the information. Secure backups ensure that data is not only safe from loss but also that it is not easily accessible without proper authorization. This protective layering is crucial in maintaining the privacy of PHI and complying with regulations such as the Health Insurance Portability and Accountability Act (HIPAA).