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What is a business associate?

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A “business associate” is a person or entity that performs certain functions or activities that involve the use or disclosure of protected health information on behalf of, or provides services to, a covered entity.   

A member of the covered entity’s workforce is not a business associate.  A covered health care provider, health plan, or healthcare clearinghouse can be a business associate of another covered entity.  The Privacy Rule lists some of the functions or activities, as well as the particular services, that make a person or entity a business associate if the activity or service involves the use or disclosure of protected health information. The types of functions or activities that may make a person or entity a business associate include payment or healthcare operations activities, as well as other functions or activities regulated by the Administrative Simplification Rules.