Understanding Business Associates (BAs)

Importance in Administrative Compliance

Managing BAAs is a core component of the administrative safeguards required for HIPAA compliance. The process involves identifying vendors who require a BAA, drafting the agreement, getting it signed, and storing it.

Who is Considered a Business Associate (BA)?

A Business Associate (BA) is a person or entity that performs functions or activities on behalf of a Covered Entity (or another Business Associate) that involves the creation, receipt, maintenance, or transmission of Protected Health Information (PHI).

Common Examples of Business Associates

Any vendor or service provider that handles or accesses sensitive data may be considered a Business Associate, including:

• Cloud Service Providers: Platforms such as AWS (Amazon Web Services), Azure, and Google Cloud (GCP) are typically considered Business Associates if PHI is stored on their servers. Covered Entities must execute a BAA with them to store PHI.
• Software and Technology Vendors: Companies providing services like EMR/EHR systems, medical transcription, or automated lead response platforms must often sign BAAs.
• Consultants and Partners: External consultants or firms that access PHI, such as those assisting with billing operations, must have a BAA in place.
• Subcontractors: Entities that receive PHI from a Business Associate (not the Covered Entity directly) are also considered Business Associates and must adhere to BAA requirements.
• Virtual Assistants/Contractors: Companies hiring virtual medical assistants or independent contractors often ensure these individuals or their organizing firms sign BAAs because they access client systems.