---
title: What is a Business Associate? - TrueVault
description: What is a Business Associate? - TrueVault
---

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- What is a Business AssociateWhat is a Business Associate

# What is a Business Associate?

Simply put, a Business Associate is a vendor or subcontractor who has access to [PHI](https://safe.truevault.com/protected-health-information?hsLang=en) (Protected Health Information).

A more legalese definition of a Business Associate under [HIPAA](https://safe.truevault.com/solutions/hipaa?hsLang=en) is any entity that uses or discloses PHI on behalf of a Covered Entity. Furthermore, a Business Associate is any person who, on behalf of a [Covered Entity](https://safe.truevault.com/resources/compliance/what-is-a-covered-entity?hsLang=en), performs (or assists in the performance of) a function or activity involving the use or disclosure of PHI.

 

**Here are some examples of vendors:**

- data storage or document storage services (it doesn’t matter if they can view the PHI that they maintain)
- providers of data transmission services, portals, or other interfaces created on behalf of Covered Entities that allow patients to share their data with the Covered Entity
- electronic heath information exchanges

If a Business Associate (vendor) delegates a covered function or activity to someone, then that entity is considered a subcontractor.

Some vendors avoid PHI like the plague; they don’t want this information anywhere near their service. But, avoidance doesn’t necessarily excuse a vendor from becoming compliant.

If a Covered Entity (customer) sends PHI through a vendor, and the vendor’s servers store this information, then they are considered a Business Associate and subject to the [HIPAA Security Rule](https://safe.truevault.com/hipaa-security-rule?hsLang=en).

\*\*Here are some examples of potential Business Associates:

- Data processing firms or software companies that may be exposed to or use PHI
- Medical equipment service companies handling equipment that holds PHI
- Shredding and/or documentation storage companies
- Consultants hired to conduct audits, perform coding reviews, etc.
- Lawyers
- External auditors or accountants
- Professional translator services
- Answering services
- Accreditation agencies
- e-prescribing services
- Medical transcription services

**In contrast, these folks are NOT Business Associates:**

- Covered Entity’s Workforce
- Individuals or companies with very limited and incidental exposure to health information, such as a telephone company, electrician, etc.
- Companies that act as a conduit for PHI, such as the postal service, UPS, private couriers, etc

### Latest Posts

## [Should Utah's Privacy Law Be on Your Radar?](https://safe.truevault.com/blog/utah-privacy-law-does-it-apply?hsLang=en)

 Phillip Walters  / November 17, 2022

## [Connecticut’s Privacy Law: Does It Apply to Your Business?](https://safe.truevault.com/blog/connecticut-privacy-law-does-it-apply?hsLang=en)

 Phillip Walters  / November 10, 2022

## [Global Privacy Control: A New Requirement for Compliance](https://safe.truevault.com/blog/global-privacy-control?hsLang=en)

 Phillip Walters  / November 7, 2022

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