What must a covered entity do before sharing PHI with a third party?

Before sharing protected health information (PHI) with a third party, a covered entity must obtain patient consent or ensure compliance with applicable regulations. This requirement is grounded in HIPAA regulations, which are designed to protect the privacy and security of PHI.

Obtaining patient consent means that the individual has given explicit permission for their information to be shared, thereby allowing the covered entity to comply with the patient's rights under HIPAA. In situations where consent is not feasible or necessary—such as when sharing information for treatment, payment, or healthcare operations—the covered entity must still ensure that the disclosure aligns with HIPAA's privacy rule and any relevant state laws.

This process helps maintain trust between patients and healthcare providers, ensuring transparency regarding how personal health information is managed. By following these protocols, covered entities safeguard patient data and minimize potential legal liabilities or privacy breaches.