FAQ 1522 May a business associate be paid by a pharmaceutical manufacturer to assist a covered entity in making a refill reminder or other communication describing the manufacturer’s product that falls within the “refill reminder” exception to marketing?
This is a FAQ about the Privacy Rule and marketing communication expception.
Final
Issued by: Office for Civil Rights (OCR)
May a business associate be paid by a pharmaceutical manufacturer to assist a covered entity in making a refill reminder or other communication describing the manufacturer’s product that falls within the “refill reminder” exception to marketing?
Answer
Yes, provided any payments to the business associate do not exceed the fair market value of its services. See paragraph (2)(i) of the definition of “marketing” at 45 CFR 164.501. The payments may be made by a pharmaceutical manufacturer through a covered entity to the business associate, or directly to the business associate, that is acting on behalf of the covered entity to assist in making the refill reminder or other communication describing the manufacturer’s product.
Created 9/19/13
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