HIPAA
U.S. regulation protecting health information privacy and security
ISO 27018
International code for PII protection in public cloud processors.
Quick Verdict
HIPAA mandates privacy/security for US healthcare PHI with OCR penalties, while ISO 27018 provides voluntary cloud PII controls for global processors via ISO audits. Healthcare firms comply with HIPAA legally; cloud providers adopt 27018 for trust and procurement advantage.
HIPAA
Health Insurance Portability and Accountability Act of 1996
Key Features
- Risk-based safeguards for ePHI confidentiality, integrity, availability
- Minimum necessary principle limiting PHI disclosures
- Direct liability for business associates via HITECH
- Presumption-of-breach with four-factor risk assessment
- Individual rights to PHI access and amendment
ISO 27018
ISO/IEC 27018:2025 PII Protection in Public Clouds
Key Features
- Privacy controls for public cloud PII processors
- Extension to ISO 27001 ISMS audits
- Subprocessor transparency and disclosure requirements
- Breach notification obligations to customers
- Data minimization and purpose limitation enforcement
Detailed Analysis
A comprehensive look at the specific requirements, scope, and impact of each standard.
HIPAA Details
What It Is
HIPAA (Health Insurance Portability and Accountability Act of 1996) is a U.S. federal regulation establishing national standards for protecting individuals' health information. It comprises the Privacy Rule, Security Rule, and Breach Notification Rule, applying to covered entities and business associates. Its risk-based approach ensures flexible, scalable safeguards for PHI and ePHI while enabling care coordination.
Key Components
- **Privacy RuleControls PHI uses/disclosures, minimum necessary, patient rights.
- **Security RuleAdministrative, physical, technical safeguards; risk analysis core.
- **Breach Notification RuleTimely reporting of unsecured PHI breaches. Built on TPO permissions, de-identification, BAAs; enforced via OCR audits, penalties; no certification, ongoing compliance.
Why Organizations Use It
Mandated for healthcare entities; reduces breach risks, penalties; builds patient trust, enables secure data flows; strategic cyber resilience, vendor oversight; competitive edge in partnerships.
Implementation Overview
Phased: assess risks, build controls, operate, assure. Involves training, BAAs, monitoring; for U.S. healthcare; scalable by size; requires documentation, no formal certification.
ISO 27018 Details
What It Is
ISO/IEC 27018:2025 is a code of practice extending ISO 27001 and ISO 27002 for protecting personally identifiable information (PII) in public clouds where providers act as PII processors. Its primary purpose is to provide privacy-specific controls addressing cloud risks like multi-tenancy and cross-border data flows. It follows a risk-based approach, integrating ~25-30 additional controls into an Information Security Management System (ISMS).
Key Components
- Core domains: transparency, consent, data minimization, breach notification, subprocessor management.
- Built on privacy principles: purpose limitation, accuracy, accountability.
- Assessed within ISO 27001 audits; no standalone certification.
Why Organizations Use It
- Enhances trust, accelerates procurement, aligns with GDPR/HIPAA.
- Reduces risk via subprocessors disclosure and incident response.
- Differentiates CSPs in competitive markets.
Implementation Overview
- Conduct gap analysis on existing ISMS, update Statement of Applicability.
- Key activities: policies, training, technical safeguards like encryption.
- Suits CSPs of all sizes; third-party audits required annually.
Key Differences
| Aspect | HIPAA | ISO 27018 |
|---|---|---|
| Scope | PHI privacy, security, breach notification for healthcare | PII protection in public cloud services for processors |
| Industry | US healthcare covered entities and business associates | Cloud service providers worldwide, all sectors |
| Nature | Mandatory US federal regulation with OCR enforcement | Voluntary ISO code of practice, audit within 27001 |
| Testing | Risk analysis, internal audits, OCR investigations | ISO 27001 certification audits with 27018 controls |
| Penalties | Civil monetary penalties up to $2M+, criminal liability | Loss of certification, no direct legal penalties |
Scope
Industry
Nature
Testing
Penalties
Frequently Asked Questions
Common questions about HIPAA and ISO 27018
HIPAA FAQ
ISO 27018 FAQ
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