How the Final Omnibus Rule Affects HIPAA Cloud Computing Providers

January 20, 2013 Off By David

Grazed from The Smart Data Collective.  Author: Editorial Staff.

The long-awaited final modifications to the HIPAA Privacy, Security, Enforcement and Breach Rules were introduced Thursday. The 563-word document outlines the changes that were initially slated for implementation last summer (remember the omnibus rule?). So how do these modifications affect HIPAA cloud providers?

While cloud providers have generally been considered and treated as business associates in the industry, the modifications make it even clearer that data center operators are officially considered business associates and are also directly liable for being compliant with the HIPAA standards that apply to business associates. The federal document states:…

A data storage company that has access to protected health information (whether digital or hard copy) qualifies as a business associate, even if the entity does not view the information or only does so on a random or infrequent basis. Thus, document storage companies maintaining 26 protected health information on behalf of covered entities are considered business associates, regardless of whether they actually view the information they hold.  To help clarify this point, we have modified the definition of “business associate” to generally provide that a business associate includes a person who “creates, receives, maintains, or transmits” (emphasis added) protected health information on behalf of a covered entity….

Read more from the source @ http://smartdatacollective.com/onlinetech/98156/how-final-omnibus-rule-affects-hipaa-cloud-computing-providers