$250K HIPAA Fine for Data Breach

$250K HIPAA Fine for Data Breach: The High Cost of Ignoring Cybersecurity Threats

October 3, 2024

Ransomware remains a significant threat to the healthcare industry, causing nearly two-thirds of data breaches. The Office for Civil Rights imposed a $250,000 HIPAA fine on Cascade Eye and Skin Centers, which provides ophthalmology and dermatology care in Washington state. This fine highlights the ongoing impact of ransomware attacks on the healthcare sector and emphasizes the importance of protecting medical practices.

What Happened?

In May 2017, hackers held almost 300,000 electronic Protected Health Information (ePHI) files at Cascade Eye and Skin Centers for ransom. The practice lacked essential safeguards, such as a thorough Security Risk Analysis and effective data access monitoring, leaving patient data vulnerable to malicious actors.

The Aftermath

The $250,000 fine is a stark reminder of the OCR’s commitment to enforcing HIPAA compliance against cybercrimes. Several ransomware fines have been levied in the past year, and unfortunately, this trend is expected to continue as ransomware attacks against healthcare organizations rise. In addition to the substantial fine, the practice is subject to a Corrective Action Plan (CAP), with the OCR overseeing Cascade Eye and Skin Centers as it implements necessary initiatives and measures to safeguard its operations from cybersecurity breaches.

Protecting Your Practice

While no healthcare practice can be completely immune to cyber threats, there are proactive steps you can take. By implementing preventive measures, you can stop cyberattacks before they impact your practice.

Implementing a comprehensive Security Risk Analysis can help identify vulnerabilities and inform your risk management strategy, providing a comprehensive overview of what your practice currently has in place. Encrypting data provides another layer of protection by making it inaccessible to unauthorized individuals. Firewalls and antivirus software can also act as barriers to malicious attacks.

Beyond technical safeguards, a well-developed Disaster Recovery Plan is essential for minimizing the impact of a breach. Having a plan in place can help ensure a swift and effective response to incidents and limit disruption to patient care. Remote access and support capabilities can also be critical in managing compromised systems and restoring operations quickly.

As technology continues to transform the healthcare industry, your compliance program should also evolve. By utilizing automated software, you can streamline compliance efforts, receive expert guidance, and stay informed about the latest cybersecurity threats.

Schedule a consultation with a compliance expert to learn more about how software solutions can help protect your practice.

The Price of Neglect: Ransomware Fines Hit Healthcare Practices

November 7, 2024 Penelope Schweitzer No comments yet

November 7, 2024 Healthcare practices felt quite a scare on Halloween, with over half a million dollars in fines levied on medical practices. These practices were fined for not taking the necessary precautions against ransomware breaches. The two practices impacted on this day of significant fines include Plastic Surgery Associates of South Dakota in Sioux Falls (PSASD), a multi-location organization, and the Bryan County Ambulance Authority (BCAA), an Oklahoma emergency medical services provider. PSASD was fined $500,000, and BCAA was fined $90,000. These significant fines are just the precipice of the future of healthcare breaches, with ransomware breaches increasing 264% since 2018. What Happened? Major ransomware attacks unfortunately impacted both of these healthcare providers. For PSASD, a breach was discovered that infected nine workstations and two servers in July 2017. This breach impacted over ten thousand patients, putting their data at risk. The malicious actors utilized trial and error to hack into the organization’s system. The data was unable to be restored. The investigation revealed significant gaps in their compliance program, including a missing Security Risk Analysis, inadequate policies and procedures for data handling and breach reporting, and insufficient training. This $500,000 penalty also includes two years of monitoring by the Office For Civil Rights (OCR). For the BCAA, its ransomware attack began in November 2021, but wasn’t reported until May of the following year. After a breach, depending on the severity, you must notify the OCR within 60 days. Since this breach impacted over 14,000 patients or over 500 people, it is considered a large breach. Similar requirements, such as a Security Risk Analysis, adequate policies, a risk management plan, and other safeguards, were missing as found in this investigation. It’s $90,000 fine includes a Corrective Action Plan as well. Protecting Your Practice from Ransomware Ransomware attacks will continue to affect our healthcare system. Although complete immunity is impossible, there are many precautions you can take to protect your practice. Implementing the right technical safeguards, such as firewalls, antivirus software, and a qualified IT team is crucial. Additionally, you can streamline your HIPAA compliance by using intelligent software solutions that help identify your compliance needs unique to your practice. In the event of an attack, these solutions can also guide you on how to respond effectively. To learn more about these smart solutions, meet with a compliance expert today.

Abyde News, Fines, HIPAA

Expensive Oversight: The Importance of Timely Patient Record Access

October 24, 2024 Penelope Schweitzer No comments yet

October 24, 2024 There has been a flurry of HIPAA fines in the past few weeks, with over half a million dollars levied in the last month. Just one example is Gums Dental Care, LLC, a small dental practice in Maryland that was fined for a Right of Access violation. Right of Access violations, which involve failing to provide medical records in a timely manner, are a common HIPAA mistake. Another violation for this was issued in August. What Happened? A patient requested her medical records from Gums Dental on April 8, 2019. After not receiving them, she issued a complaint to the OCR in May 2019. The OCR contacted Gums Dental Care for technical assistance and believed the case was over. This was just the beginning. This case spanned years, with a second complaint filed in August 2019 and the OCR sending several data requests through letters and calls to Gums Dental. On October 1, 2020, the OCR sent Gums Dental a proposed resolution agreement and corrective action plan. At the end of the month, Dr. Gums wanted to present her case in front of a judge, believing the patient would commit Medicaid fraud with her records. She also said that the complainant didn’t pay a $25 administrative fee to release the medical records through mail. First, patients should always have access to their medical records, regardless of their reasons. Second, the fee would be waived if the patient requested it digitally, not through mail. In December 2020, the OCR issued a Letter of Opportunity to Gums Dental. At the beginning of the next year, Dr. Gums once again justified her refusal to provide the records since she believed her patient would commit a crime with them. She also believed her website wasn’t secure enough to send them digitally. However, Gums Dental didn’t attempt to send the records at all. By the time the Notice of Proposed Determination was sent in March 2022, roughly three years after the first medical record request, Gums Dental faced a Civil Monetary Penalty fine as high as $7,676,692. However, the OCR ultimately levied a $70,000 fine, recognizing the smaller size of the dental practice. How to Protect Your Practice Common HIPAA fines often involve Right of Access violations. At the federal level, practices are required to provide patients with their medical records within 30 days, and some states have an even shorter timeline. Navigating these unique regulations can be challenging, so having an intelligent solution is crucial. Smart software can streamline compliance for your practice by generating policies and procedures tailored to your needs. These solutions also include access to a team of compliance experts who can help answer your questions and ensure that you are interacting with patients in a HIPAA-compliant manner. To learn more about software solutions, with a compliance expert here.

Abyde News, Best Practices, HIPAA

The Dermatologist’s Ultimate Guide to HIPAA Compliance

October 22, 2024 Penelope Schweitzer No comments yet

October 22, 2024 Did you know that a dermatology center was fined over $300,000 for violating HIPAA? HIPAA compliance is not always top of mind when managing your dermatology practice. Administrative tasks can easily take a back seat with a focus on diagnosing and treating skin conditions. Nevertheless, it’s crucial to prioritize HIPAA compliance. Discover what steps you need to take to ensure the safety of your dermatology practice. What’s Protected Health Information? Protected Health Information (PHI) is sensitive data that can personally identify a patient. Examples of PHI include a social security number, birth date, medical records, and even images of skin ailments for dermatologists. These images can contain personally identifiable information, such as tattoos and unique birthmarks. When working with patients, it’s crucial to ensure all images and other forms of PHI are encrypted and protected behind essential safeguards to secure patient information. Social Media 101s When sharing images of your patient’s treatment, such as before-and-after images of acne treatment, it’s important to do so compliantly. While you might think you’re sharing a feel-good story, patient images are considered Protected Health Information (PHI), and sharing them without consent could violate their privacy. You need the patient’s signed media consent form to share these images and patient reviews on social media compliantly. This form ensures that the patient understands and agrees to use their image and treatment details being shared with the public. Improper Disposal The largest dermatology HIPAA fines, totaling over $300,000, were imposed due to improper disposal. Some states have even stricter laws regarding discarding old patient files, which must be retained for at least six years on a federal level. These files also need to be encrypted throughout the creation to disposal process. When getting rid of sensitive information, ensure it is shredded and properly disposed of. Partner with a disposal company specializing in medical paperwork and waste and have a Business Associate Agreement in place. How Software Solutions Can Help Dermatology helps patients feel comfortable in their own skin, both literally and figuratively. Implementing the appropriate safeguards to protect patients’ data is just as important. By utilizing smart software, you can see where your dermatology practice stands and what you need to do to be compliant. To learn how you can protect your dermatology practice, schedule a consultation with an expert.