Importance Of HIPAA Compliances For Outsourcing Partners

#itoutsourcing, #Staffaugmentation, #Outsourcing


Jay Anthony

18 November 2022 8 min read

Importance Of HIPAA Compliances For Outsourcing Partners

Why Your Outsourcing Partner Should Be HIPAA Compliant

Today, you don't have to collaborate with local partners just because that's where your office is located. Instead, you can work with an outsourced team halfway around the world due to the rise of digital communication channels.

While these advancements are undeniably beneficial, they also have some drawbacks. Aside from the obvious advantages, the shift to digital means that cybercriminals now have more opportunities to steal your company's data. Cyberattack cases are increased by 29% after these digital advancement.. If you manage sensitive data online, failing to implement the necessary cybersecurity protocols will place you among the millions of cybercrime cases that occur each year. Partnering with a Health Insurance Portability and Accountability Act (HIPAA) Compliant Outsourcing Partner is a must to reduce the risk of a cyberattack.

What is HIPAA?

The Health Insurance Portability and Accountability Act of 1996 (HIPAA) is a federal law that establishes national standards to protect sensitive patient health information from unauthorised release. To prevent healthcare fraud and identity theft, HIPAA gives patients control over who can access and use their private health data.

Why You Should Work with a HIPAA-compliant Outsourcing Partner?

Working with a business colleague who complies with HIPAA implies sharing accountability and responsibilities. Additionally, working with a third-party service that adheres to the same standards as you do lets you run your business worry-free because you know that your outsourced partner is contributing to the security of patient information. Your team can concentrate on duties of high value while maintaining HIPAA compliance with the help of an outsourced HIPAA compliance partner.

Why is HIPAA compliance important to your business?

In order to safeguard patients' privacy and provide them with access to patient’s medical records, the HIPAA Privacy Act was created. Although HIPAA law primarily focuses on protecting patients' rights, the truth is that HIPAA's laws also provide protection for small business owners.

Staff augmentation can utilize HIPAA standards as a guide to reduce the risk of an expensive data breach. Many small business owners can be vulnerable to hackers without HIPAA.

In the event of a breach, there is less chance that you will be the target of a federal audit thanks to HIPAA regulation.

Finally, if you've complied with HIPAA standards, you'll have a better chance of passing an internal audit if you do experience a breach.

What are the benefits of HIPAA in the Workforce?

1. It gives patients more control over their health data.

2. It establishes guidelines for the use and disclosure of medical records.

3. HIPPA encourages a compliance culture and a shared understanding of "the right way" to handle patient information.

4. It improves patient satisfaction and raises the HCAHPS (Hospital Consumer Assessment of Health care Providers and Systems) score by encouraging the careful handling of PHI(protected health information).

5. HIPPA proactively assists organizations in avoiding costly add-on security measures and provide better staff augmentation services

6. It reduces medical errors, boosts patient satisfaction and trust, improves care quality, and boosts operational efficiencies.

7. Personal liability is avoided for the organization and its employees. The law requires staff training.

It’s important to Keep Your Business HIPAA healthy

In order to allow for the transfer and continuation of health insurance, reduce health care fraud and abuse, impose industry-wide standards for health care and electronic billing, and mandate the protection and confidential handling of protected health information, the U.S. Congress passed HIPAA in 1996. (PHI) 

Here are four quick tips for maintaining HIPAA compliance:

1. Understand key definitions

HIPAA contains many phrases with very specific meanings. To ensure compliance, it's a good idea to thoroughly educate yourself on their meanings.

2. Backup all patient records

All HIPAA-covered entities, including medical practises, are required to develop and implement procedures for creating and storing retrievable exact copies of electronic PHI. Resource augmentation models can make the best use of it.

3. Remember to keep electronic PHI backups offsite

HIPAA requires backup copies of electronic PHI to be kept in a location separate from the original data store.

4. Sign a "business associate" agreement with your backup service provider

Covered entities are required by HIPAA to enter into agreements with "business associates." These are referred to as Business Associate Agreements. Any person or entity that creates, receives, or maintains PHI on behalf of the covered entity is considered a "business associate."


When narrowing down your outsourcing options, you can't go wrong with looking for HIPAA compliance. You can't take the risk given the real and serious threat of cybercrime and its financial consequences. When working with a HIPAA-compliant organisation, you can be confident that you're working with a company that uses the same level of care and scrutiny when dealing with sensitive client information as you do. 

If you're looking for a HIPAA-compliant outsourcing partner, consider TECHVED’s business solutions. Our primary goal is to assist you in simplifying your business processes and maximising the growth of your organisation. With our unique solutions, our experts have made a digital revolution our global reality.

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Concluding message

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Feel free to get in touch with TECHVED Consulting!

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Jay Anthony

Marketing Head | TECHVED Consulting India Pvt. Ltd.

He led efforts to develop a fully integrated marketing communications plan and growing team. He is responsible for successful corporate re-brand and update of all branded assets.

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