BC Advantage - 2020 Issue 5
Sharing of PHI with Large Tech Companies, Confidential Agreements, and HIPAA's Prohibition on the Marketing and Sale of PHI
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Article Overview
This article examines HIPAA privacy issues arising when covered entities, business associates, and subcontractors share protected health information with outside companies, including cloud and technology vendors. It discusses the general framework for marketing and sale restrictions, the role of patient authorization and notices of privacy practices, the significance of business associate arrangements, and the potential for enforcement and False Claims Act exposure. The piece is relevant to compliance, privacy, and healthcare legal audiences evaluating data-sharing practices and organizational safeguards.
Why This Topic Matters
Healthcare organizations increasingly use external vendors and data platforms to store, analyze, and transmit PHI, making privacy compliance and contractual safeguards essential. Understanding how HIPAA restrictions intersect with data-sharing arrangements helps organizations reduce enforcement risk and legal exposure.
Article Sections
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Analysis
This section discusses the general HIPAA privacy framework for marketing and sale of PHI, including patient notice, authorization, and organizational policy considerations. It also addresses common compliance questions and broad categories of permitted and restricted activity.
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Conclusion
This section summarizes the article’s compliance focus, including the importance of reviewing privacy practices, disclosures, and related agreements on a recurring basis. It also notes the potential for regulatory scrutiny and broader legal risk.
What You Will Learn
- How HIPAA privacy rules relate to marketing and sale-related disclosures of PHI
- Why business associate arrangements and patient authorization matter in vendor data-sharing contexts
- How notices, policies, and compliance reviews support privacy governance
- What general enforcement and liability concerns may arise from improper PHI sharing
Who Should Read This
- Covered entities
- Business associates
- Healthcare compliance professionals
- Healthcare attorneys
- Privacy officers
- Security officers
- Health information management professionals
Codes Discussed
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