Negotiating a Business Associate Agreement

Negotiating a Business Associate Agreement

A business associate agreement (BAA) is a critical legal document that outlines the terms of a partnership between a covered entity (CE) and a business associate (BA). A CE is any organization that handles protected health information (PHI) under the Health Insurance Portability and Accountability Act (HIPAA), and a BA is any third-party organization that performs services or functions on behalf of the CE. If you are a BA, it is essential to negotiate a BAA that protects both you and the CE.

Here are some tips on how to negotiate a BAA:

1. Read the HIPAA regulations: Before you start negotiations, make sure that you understand the HIPAA regulations regarding BAAs. Familiarize yourself with the requirements and obligations that must be included in the agreement.

2. Identify the scope of services: Define the scope of services that you will perform as a BA. This includes identifying the types of PHI that you will handle, the purpose of the services, and the length of the agreement.

3. Understand indemnification provisions: The indemnification provisions define which party is responsible for paying any damages or costs resulting from a breach of the agreement. Make sure that the indemnification provisions are fair and reasonable.

4. Negotiate liability limits: BAAs typically include limitations on liability for both parties. Consider the risks involved in the services that you will perform and negotiate limits that are appropriate for the level of risk.

5. Address security concerns: HIPAA requires that BAAs include provisions for safeguarding PHI. Discuss with the CE how you will protect PHI and address any concerns that they may have.

6. Address breach notification requirements: The BAA should outline the procedures for reporting a breach of PHI. Work with the CE to develop a notification process that meets the requirements under HIPAA.

7. Address termination provisions: The BAA should include termination provisions that outline the circumstances under which the agreement may be terminated. Make sure that the termination provisions are fair and protect both parties.

Negotiating a BAA requires careful consideration and attention to detail. As a BA, you must protect your business while meeting the requirements of HIPAA. By following the tips outlined above, you can negotiate a BAA that is fair and protects both you and the CE.