Everything That You Need To Know About The Largest Data Breach Settlement
There are more or less 45 data that are stolen and lost every second. When this happens to a company, it will put all of their data records at risk. The clients of these businesses will also be at risk, since they have their personal information. If this is the case the clients can sue the company and no longer trust them. Unfortunately data breaches happen all the time.
The largest data breach settlement up to this day happened to the U.S department of health and human services and the Advocate health care. The U.S Department of health and human services settled with the price of $5.5 million with the Advocate health care. The Advocate Health Care actually violated the Health Insurance Portability and Accountability Act. The Health Insurance Portability and Accountability Act protects the personal health information of people so it will not go to the wrong hands. Every health care provider makes sure that the patients personal information are safe. There were at least 4 million personal health information that was stolen. The credit card number, the name, the health insurance and the address of every patient was included in the personal information. The exposure of the these personal health information happened in the month of August in the year 2013 after four desktops were stolen in the Advocate health office that is located in Park Ridge Illinois. These desktop computers has the information of millions of local patients. Then another incident happened. After the hackers can now open the billing services of the Advocate Health care office. During the second incident, the hackers exposed at least 2,000 health information of patients. Another data breach happened in the month of November in the year 2013. A desktop computer of the Advocate health care office was stolen in the vehicle. In this breach they stole 2,230 important and personal health information. After the incidents of data breaches the Advocate of health reported them and the Health Insurance Portability and Accountability Act started to conduct their investigation.
The law states that every health care provider must protect the personal health information of their clients. The result of the investigation of the Health Insurance Portability and Accountability Act is that the Advocate of health violated this law. The Advocate of health should have done protective measures and should not have left the computer in an unlocked vehicle. The Advocate of health care is at fault because they did not secure a written contract from the billing subsidiary. The written contract should have the protection of the information that is in their electronic devices. The advocate health care is considered as the largest health care provider in Illinois.
It is very important that health care providers protect their company and even their patients.