A system and method include a battery removably coupleable to a medical device. The battery includes a cell for storing an electrical charge, a housing, a first contact, and a second contact that is inactive when the battery is not in proximity to the medical device. The battery includes a sensor for generating a proximity signal in response to a proximity of the medical device to the battery that is not based on an electrical connection of the medical device to the contacts. The battery includes a battery controller for receiving the proximity signal, and responsively causing the second contact to be activated. One of the medical device and the battery comprises a communication device. When the medical device is coupled to the battery and the second contact is activated, the communication device transmits an authentication signal to enable authentication.