Covered Entities . Covered entities are defined in the HIPAA rules as (1) health plans, (2) health care clearinghouses, and (3) health care providers who electronically transmit any health information in connection with transactions for which HHS has adopted standards. Similarly, you may ask, is an employer a covered entity under Hipaa? Most employers that provide self-funded or self-administered health insurance benefits to their employees are covered entities and must comply with HIPAA privacy rules. However, if the employer receives protected health information solely in its role as an employer , it is not subject to HIPAA . Also, what are covered entities required to do under Hipaa? Covered entities under HIPAA include health plans, healthcare providers, and healthcare clearinghouses. Health plans include health insurance companies, health maintenance organizations , government programs that pay for healthcare (Medicare for example), and military and veterans' heal...