Question

Identify the true statement about a business associate agreement.

A. It is not required under HIPAA.
B. It only involves covered entities.
C. It outlines responsibilities and safeguards for protected health information.
D. It is optional for covered entities

Answer 1

A true statement about a business associate agreement is that it specifies the responsibilities regarding the handling of protected health information as required by HIPAA. It is not optional and involves both covered entities and their business associates.

Step-by-step explanation:

The business associate agreement (BAA) is a key component of the Health Insurance Portability and Accountability Act (HIPAA) compliance structure. The true statement about a business associate agreement is that it outlines responsibilities and safeguards for protected health information (PHI). Under HIPAA, covered entities such as healthcare providers, health plans, and healthcare clearinghouses must have a signed BAA with any business associates before disclosing any PHI to them. A business associate is an individual or entity that performs certain functions or activities that involve the use or disclosure of PHI on behalf of, or provides services to, a covered entity. The BAA must specify the permitted and required uses of PHI by the business associate, as well as the measures the business associate agrees to take to protect the privacy and security of the PHI.