Final answer:
Under HIPAA guidelines, a covered entity must notify CMS immediately when a breach impacts 500 or more patients, which is crucial for prompt response and mitigation efforts.
Step-by-step explanation:
When creating a presentation on breach notification, it is important to highlight specific thresholds for when a covered entity is required to notify the Centers for Medicare & Medicaid Services (CMS) immediately. According to the Health Insurance Portability and Accountability Act (HIPAA) guidelines, a covered entity must notify CMS immediately, specifically when 500 or more patients are impacted by a breach. This immediate notification requirement is a critical aspect of HIPAA breach notification rules, aimed at ensuring prompt response and mitigation of any damage caused by the breach.