What is a covered entity?
According to the amended HIPAA Privacy Rule “covered entity” is a health plan, a health care clearinghouse, or a health care provider who transmits any health information in electronic form in connection with a HIPAA transaction.
Over 4 million businesses, corporations, government agencies, professionals, and individuals handle personal health information (PHI) electronically and therefore must comply with the HIPAA Privacy Rule.
Consultations between direct and indirect treatment providers are expressly permitted under the Original Rule. 65 Fed. Reg. at 82,510. The Amended Rule did not change this permission.