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SOC 2 vs. HIPAA: What's the Difference and Do You Need Both?

This article explains the differences between SOC 2 and HIPAA and how the two frameworks work together for organizations handling sensitive healthcare information. It clarifies the distinct purposes of SOC 2 as an independent attestation framework and HIPAA as a U.S. healthcare regulation, explores where their security requirements overlap, and addresses common misconceptions about whether one can replace the other. The article also examines practical considerations for healthcare technology companies, SaaS providers, cloud service providers, and business associates that may need to satisfy both customer assurance expectations and regulatory obligations while building a scalable compliance program.

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By Tom Rozen

Published October 7, 2026

SOC 2 & HIPAA Explained

Organizations rarely operate under just one set of security expectations. A healthcare technology company may need to protect sensitive health information, satisfy customer security reviews, and demonstrate that its security controls operate effectively.

This is where confusion between SOC 2 and HIPAA often begins.

Although both frameworks focus on protecting sensitive information, they serve very different purposes. SOC 2 is an independent attestation framework that evaluates security controls at service organizations. HIPAA is a U.S. federal law that establishes requirements for protecting protected health information (PHI).

Understanding the difference between SOC 2 and HIPAA helps organizations determine which requirements apply, where the frameworks overlap, and whether both may be necessary for their business.

What are SOC 2 and HIPAA?

SOC 2 and HIPAA are different frameworks that address security from different perspectives.

What is SOC 2?

SOC 2 is an independent attestation framework designed for service organizations. It evaluates controls related to security, availability, processing integrity, confidentiality, and privacy using the AICPA Trust Services Criteria. 

SOC 2 is commonly used by:

  • SaaS providers
  • Cloud service providers
  • Data processors
  • Managed service providers
  • Technology companies

Organizations use SOC 2 reports to demonstrate that their security controls have been independently examined.

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What is HIPAA?

HIPAA is a U.S. federal law that establishes privacy and security requirements for protecting protected health information (PHI).

HIPAA applies to:

  • Covered entities
  • Business associates

Depending on the organization's role, HIPAA may impose requirements related to privacy, security safeguards, breach notification, and the handling of PHI.

For healthcare SaaS providers and cloud platforms, understanding whether they qualify as a HIPAA business associate is often a critical first step.

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How do SOC 2 and HIPAA work together?

SOC 2 and HIPAA can complement each other, but one does not replace the other.

Healthcare organizations increasingly expect technology providers to demonstrate strong security practices.

For example, a healthcare SaaS provider may:

A SOC 2 examination may evaluate controls such as:

  • Access management
  • Security monitoring
  • Incident response
  • Change management
  • Risk management

Many of these controls are also relevant to HIPAA security requirements.

However, HIPAA establishes legal obligations that extend beyond what a SOC 2 examination covers.

This is why organizations should view SOC 2 and HIPAA as complementary rather than interchangeable frameworks.

SOC 2 vs. HIPAA: Key differences

Different purposes

SOC 2 provides independent assurance about security controls.

HIPAA establishes legal requirements for protecting PHI.

SOC 2 answers:

Can an independent examination provide assurance about this organization's controls?

HIPAA answers:

What legal obligations apply when handling protected health information?

These are fundamentally different objectives.

Different scopes

SOC 2 is typically used by service organizations that need to demonstrate security controls to customers.

HIPAA applies only when organizations meet specific definitions under the law, such as covered entities or business associates.

Not every healthcare technology company automatically falls under HIPAA.

The organization's services, relationships, and handling of PHI determine whether HIPAA applies.

Different forms of assurance

SOC 2 results in an independent attestation report prepared by a CPA firm.

HIPAA compliance is a legal obligation that applies to covered organizations.

SOC 2 provides assurance.

HIPAA establishes requirements.

One does not automatically satisfy the other

A SOC 2 report does not automatically make an organization HIPAA compliant.

Likewise, meeting HIPAA requirements does not automatically result in a SOC 2 report.

While both frameworks may rely on similar security controls, they remain separate requirements.

Can a healthcare SaaS company need both SOC 2 and HIPAA?

Yes. Many healthcare technology companies need to address both frameworks.

A healthcare SaaS platform may:

  • Process protected health information
  • Serve hospitals or healthcare providers
  • Undergo customer security reviews
  • Sign Business Associate Agreements
  • Be asked to provide a SOC 2 report

In this scenario:

  • HIPAA addresses regulatory obligations
  • SOC 2 supports customer assurance requirements

Many healthcare organizations expect both.

Why healthcare customers ask for SOC 2 reports

Healthcare organizations face increasing pressure to evaluate third-party vendors.

A SOC 2 report can help:

  • Support vendor risk assessments
  • Demonstrate independent security validation
  • Streamline customer due diligence
  • Reduce repetitive security questionnaires

Although a SOC 2 report does not replace HIPAA requirements, it can provide valuable assurance to healthcare customers evaluating potential vendors.

» Streamline customer due diligence with a SOC 2 report that gives buyers confidence in your security controls.

How GRSee Consulting can help

Organizations managing both SOC 2 and HIPAA requirements often struggle with duplicated effort and overlapping controls.

GRSee Consulting helps organizations:

  • Assess SOC 2 readiness
  • Perform compliance gap analyses
  • Identify overlapping control requirements
  • Streamline evidence collection
  • Prepare for independent examinations

By understanding where SOC 2 and HIPAA align, and where they remain separate, organizations can build a more efficient and sustainable compliance program.

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FAQs

Is SOC 2 the same as HIPAA?

No. SOC 2 is an independent attestation framework, while HIPAA is a federal law governing protected health information.

Does SOC 2 make you HIPAA compliant?

No. A SOC 2 report does not automatically satisfy HIPAA requirements.

Can a healthcare SaaS company need both SOC 2 and HIPAA?

Yes. Many healthcare SaaS providers pursue SOC 2 while also addressing HIPAA obligations.

Do hospitals require SOC 2?

Many healthcare organizations request SOC 2 reports during vendor risk assessments and procurement reviews.

What is more important: SOC 2 or HIPAA?

They serve different purposes. Organizations should determine which requirements apply based on their services, customers, and handling of protected health information.