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The HIPAA Privacy Rule requires covered entities to enter into written contracts or other arrangements with business associates which protect the privacy of protected health information; but covered entities are not required to monitor or oversee the means by which their business associates carry out privacy safeguards ...
Business associate agreements form the backbone of your organization's HIPAA compliance program. These agreements include clauses outlining the permissible and impermissible uses of Protected Health Information (PHI), each party's liabilities, consequences of failing to comply with stated requirements, and more.
Under HIPAA, employees within your organization are not considered business associates. However, some examples of individuals and technologies that are considered HIPAA business associates include lawyers, billing companies, web hosting services, and email encryption services, to name a few.
The HIPAA Privacy Rule requires all Covered Entities to have a signed Business Associate Agreement (BAA) with any Business Associate (BA) they hire that may come in contact with PHI.
At its most basic, BAA's must contain these provisions: Determine what PHI the Business Associate will access. Require that the Business Associate will use appropriate safeguards to secure PHI. Provide that the BA will not disclose protected health information save when permitted by the agreement.