On your wifi, if you use WPA2 and 14 numbers in your password that consist of lower case, upper case and numbers which are generated by a random generator, you should be all set. I can't speak completely for wireless Internet, but for WiFi you are all set. MAC addresses do nothing, although it can't hurt.
Martin, don't stop printing. These are 1s and 0s in the air. If you read through HIPAA (and I have word for word), a lot of it states doing your best within reason in the face of an extremely good hacker.
I will never forget a certified expert in networking and the Internet and confidentiality (yes remember confidentialty) told me, "He said, Bert, is there anyone out there that can break into your network and take all your data? Yes, there are thousands. Is there anyone out there who will target your network and hack it so as to get your data? Doubtful. Let's see: Key Bank, Citicard, Visa, Enron, Pentagon, Bert's network.
If you are really worried about HIPAA, then read the manual and make sure your office paperwork is up to speed. The stupid manuals you should have in place.
I say this. Fire that SOB. Hire Verizon and don't give it another thought. Then send him a letter asking him if his family would like to join your practice.
I have sent plenty of PDFs that were encrypted and password protected, where I send the password via separate cover. The only bad thing is if you make it too HIPAA compliant, 2/3 of the doctors can't open it.