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Yes, provided the covered entity or business associate enters into a HIPAA-compliant business associate contract or agreement (BAA) with the CSP that will be creating, receiving, maintaining, or transmitting electronic protected health information (ePHI) on its behalf, and otherwise complies with the HIPAA Rules.
The HIPAA Rules require covered entity and business associate customers to obtain satisfactory assurances in the form of a business associate agreement (BAA) with the CSP that the CSP will, among other things, appropriately safeguard the protected health information (PHI) that it creates, receives, maintains or ...
So, a subcontractor is a business associate to another business associate. They do not have a direct relationship with the covered entity but may be engaged in providing the service to your practice. It's a privacy and security responsibility chain.
Basically, if your organization interacts with protected health information (PHI) from a health provider, health insurer, or similar covered entity (CE) your organization is considered a business associate (BA) which must comply with all HIPAA/HITECH regulations and be HIPAA compliant.
Both the HIPAA Privacy Rule and New Jersey law give you rights to your medical record. The HIPAA Privacy Rule sets standards that apply to records held by health care providers across the nation. New Jersey law sets standards for records held by health care providers within the state.
A covered entity that engages the services of a business associate to fulfill an individual's request for access to their PHI is responsible for ensuring that, where applicable, no more than the reasonable, cost-based fee permitted under HIPAA is charged.
HIPAA requires Covered Entities to only work with Business Associates who assure complete protection of PHI. These assurances have to be in writing in the form of a contract or other agreement between the Covered Entity and the BA. HHS can audit BAs and Subcontractors for HIPAA compliance, not just Covered Entities.
A business associate also is directly liable and subject to civil penalties for failing to safeguard electronic protected health information in ance with the HIPAA Security Rule. Contracts between business associates and business associates that are subcontractors are subject to these same requirements.