The first statistic comes from a recently published study by the Ponemon Institute, with sponsorship from IBM Security, entitled “2018 Cost of a Data Breach Study: Global Overview.” Ponemon’s study found that heavily regulated organizations, most notably the health care industry, face breach costs that are substantially higher than their peers. The study found that the per capita cost of a data breach in the health care industry is $408–nearly double that of the financial industry, which claims the second spot on the list. The chart below makes the health care industry’s outlier status crystal clear: Continue Reading These Statistics Keep Health Care Execs Up At Night
Mintz Levin has updated the Mintz Matrix, a comprehensive summary of the data breach notification laws that now exist in all 50 states (South Dakota and Alabama finally caved and enacted their own laws). It’s critical that HIPAA-regulated entities monitor these state laws because they apply simultaneously, and often conflict with, HIPAA. In the event of a data breach, regulated entities must fulfill HIPAA’s breach notification requirements and the requirements of applicable state law. Large-scale data breaches, affecting individuals from multiple states, require the rapid analysis of multiple state laws along with HIPAA requirements. But don’t wait for a crisis to review the Matrix. HIPAA covered entities and business associates should use it to familiarize themselves with the breach notification requirements of the states in which they do business, and use the Matrix to inform incident response planning activities. The Matrix is also useful for monitoring patterns and trends among state laws in this area. For example, state data breach notification laws have historically been implicated by the loss of information that could be used for identity theft, such as name coupled with social security, debit or credit card numbers. However, many states now require breach notification when health care information is used or disclosed without authorization, even if it is not associated with a social security number and even if HIPAA does not apply. You can learn more about the Matrix and download a copy on our Privacy and Security Matters blog.
A draft bill recently introduced in the U.S. Senate serves as a good reminder that compliance with data breach reporting requirements is critical. This bill follows significant, high-profile data breaches by Uber and Equifax, both of which involved millions of individuals (87 million and 145 million, respectively) and both of which went unreported for a significant period of time following discovery by the companies. Equifax took more than a month to notify the public, while Uber took more than a year. Continue Reading Proposed Law Would Criminalize Failures to Report Data Breaches
The U.S. Department of Health and Human Services, Office for Civil Rights (OCR) recently announced the first ever settlement related to a Covered Entity’s untimely breach notification in violation of HIPAA. Presence Health, a health care network in Illinois, discovered a breach of unsecured personal health information (PHI) on October 22, 2013. After reporting the breach to OCR over three months later on January 31, 2014, OCR determined that Presence Health failed to notify OCR, each of the affected individuals, and prominent media outlets of the breach without unreasonable delay and within 60 days of learning of the breach, as required of Covered Entities under HIPAA. The violation resulted in a $475,000 settlement between OCR and Presence Health.
21st Century Oncology Holdings, a company that operates a chain of 181 cancer treatment centers in the US and Latin America, announced on Friday March 4 that it was latest victim of a cyber-attack affecting 2.2 million individuals. When did the attack occur? Months ago.
The breach occurred as early as October 3rd of last year when a hacker accessed a database containing current and former patient names, Social Security numbers, physician names, diagnosis and treatment information and insurance information. The FBI informed the company of the possibility of a breach in November of 2015, prompting the company’s investigation. After a five-month delay, requested by the FBI, the company announced the breach (see HERE) and is offering patients one year of identity theft protection services. Continue Reading Oh No, Not Again…Chalk Up Yet Another Health Data Breach