What does HIPAA have to do with confidentiality?

Dr. Wolf, a well-respected dermatologist in the community, always asksfor a written release before sending any patient's records to a requestinginsurance company. However, as a general rule he will simply call the localMohs surgeon, internist, and general surgeon when he wants to discuss apatient he wishes to send for referral. He recently heard that there aresome new confusing regulations that will impact dramatically on how hedeals with his patients' confidential issues. Is he correct?