Learn about
Third-Party Assurance Reports – TPA
Imagine you’re a company that relies on outside vendors or service providers to handle critical tasks—things like cloud infrastructure hosting, software development, transaction processing, or cybersecurity. How can you be sure that these third parties are trustworthy, secure, and operating effectively?
That’s where TPA reports come in. These reports are independent evaluations conducted by auditors to assess whether a vendor or service provider follows best practices, complies with industry standards, and effectively manages risks.
Why are TPA reports valuable?
Risk Management
TPA reports help companies identify and reduce risks associated with outsourcing services.
Trust and Transparency
Businesses can make informed decisions by reviewing independent assessments rather than taking a vendor’s word for it.
Operational Efficiency
Instead of conducting multiple audits themselves, companies can rely on standardized TPA reports.
Regulatory Compliance
Many industries (like finance, healthcare, and tech) require companies to show they’re working with compliant partners.
Common Types of TPA Reports
SOC (System and Organization Controls) Reports
System and Organization Controls (SOC) is a suite of service offerings CPAs may provide in connection with system-level controls of a service organization or entity-level controls of other organizations. It was developed by the AICPA (American Institute of Certified Public Accountants) to assess and report on the effectiveness of service organizations’ internal controls.
-
-
SOC 1 – Focuses on financial reporting controls.
-
SOC 2 – Evaluates security, availability, and privacy of data.
-
SOC 3 – A public-facing version of SOC 2 with summarized insights.
-
ISO (International Organization for Standardization) Certifications
Global standards that help companies establish robust security and quality management systems. The ISO (International Organization for Standardization) owns and maintains the ISO standards
-
- ISO 27001 – Focuses on information security management.
- ISO 9001 – Covers quality management.
- ISO 22301 – Relates to business continuity management.
PCI DSS (Payment Card Industry Data Security Standard)
A framework for companies handling credit card transactions, ensuring the secure processing, storage, and transmission of cardholder data. The PCI DSS (Payment Card Industry Data Security Standard) framework is owned and maintained by the PCI Security Standards Council (PCI SSC).
HITRUST CSF (Common Security Framework) Certification
A security and risk framework specifically for the healthcare industry. It helps organizations demonstrate compliance with HIPAA and other regulatory requirements.
FedRAMP (Federal Risk and Authorization Management Program) Authorization
A U.S. government framework for assessing the security of cloud service providers. It is required for companies wanting to provide cloud services to federal agencies.
NIST 800-53 / 800-171 Compliance Reports
Security frameworks established by the National Institute of Standards and Technology (NIST) for government contractors and agencies. Ensures data protection for organizations working with the U.S. government.
CSA STAR (Cloud Security Alliance Security, Trust & Assurance Registry)
A certification and self-assessment program for cloud security. Assesses cloud providers on security, privacy, and compliance. CSA (Cloud Security Alliance) is a global nonprofit organization dedicated to defining security standards, research, and certifications for cloud environments.