Management Liability Update

Archive for the ‘Privacy’ Category

HITECH Public Data Breaches: Majority Caused by Theft

Icon September 3, 2010 – 7:43 am

Last month, the Health Information Trust Alliance published an analysis of the 108 breaches reported to HHS from Sept. 23, 2009 (when reporting first started under the HITECH Act) to mid-July.  This review illustrates the major impact of theft on healthcare providers.   Of 108 total reported breaches, 68 were the result of theft.  Indeed, the only [...]



AON Disclosure Impacts 22,000 Retirees

Icon August 31, 2010 – 8:26 am

According to a story published today in the News Journal, Aon Consulting is mailing letters to approximately 22,000 State of Delaware retirees after it inadvertently posted social security numbers, gender information and dates of birth in a Request for Proposal (RFP) the company prepared for the State.  The RFP information was posted by AON to the procurement [...]



BigLaw Warning: Law Firms Face Increasing Risks When Handling Personal Information

Icon August 25, 2010 – 5:10 pm

In a pair of articles sent out by CNA to its law firm insureds, two large law firms showcase (by way of their privacy and risk management departments) the rising data loss exposures faced by all law firms.  An article written by seasoned privacy attorneys from Hunton & Williams provides “an overview of key privacy and information security issues impacting the practice [...]



Network World: Do You Need Network Security and Privacy Insurance?

Icon August 17, 2010 – 7:07 am

Two recent articles have come up with differing viewpoints regarding the merits of buying network security and privacy (NSAP) insurance.  On the one hand, an article in Network World has taken the position that it is almost foolish not to have NSAP insurance given the potential damages, increasing threats and the inability to safeguard against all such [...]



Hospital Data Continues to be at Serious Risk with Third-Party Vendors

Icon August 4, 2010 – 6:19 am

According to the 2010 HIMSS Analytics Report: Security of Patient Data, even though providers continue to update their security infrastructure, patient data remains at serious risk.  And, despite new statutory requirements for healthcare privacy and security, these critical gaps remain.  The study’s conclusion is not that surprising given new healthcare breaches are being reported on a daily basis. One improvement that can be immediately implemented with little [...]



NSAP Insurance Full Policy Limits Must Cover First Party Data Breach Costs

Icon July 29, 2010 – 8:22 am

A recently disclosed $10 million data breach expense bill raises an issue that has been percolating the network security and privacy (NSAP) insurance marketplace for several years now.  The publicly disclosed expenses involve BlueCross BlueShield of Tennesee (BCBST). According to BCBST, in October 2009, “57 hard drives containing audio and video files related to coordination of [...]



HHS Issues Proposed New HIPAA Regulations and Breach Portal

Icon July 9, 2010 – 7:31 am

Using a lavish press conference as the backdrop, HHS officials announced yesterday proposed changes to the HIPAA regulations as well as an updated web page listing those breaches impacting more than 500 individuals.  The purpose of the new Rules issued yesterday is to align the HIPAA rules with the HITECH Act passed last year.   Specifically, the press announcement states:  The [...]



CT AG Successfully Uses HITECH Act to Settle HIPAA Breach

Icon July 7, 2010 – 9:05 am

Taking advantage of a federal law passed last year, Connecticut’s Attorney General, Richard Blumenthal, announced yesterday a settlement with HMO Health Net that includes a corrective action plan, a $250,000 payment to the State of Connecticut (with an additional potential pot of $500,000), and increased credit monitoring and ID theft insurance to potential victims.  According [...]



Symantec Survey: SMBs Invest in Addressing Data Security Threats

Icon June 22, 2010 – 3:06 pm

In the recently published Symantec survey of 2,500 executives with responsibility for IT security – half from companies of less than 100 employees – cyber-attacks were ranked as their top business risk.  And, of those polled by Symantec, 74 percent said they were “somewhat or extremely concerned” about losing sensitive electronic data.  In fact, 42 percent lost confidential [...]



CyLab Survey: Corporate Protection of Digital Assets Not a Priority

Icon June 17, 2010 – 6:31 am

The recently released Carnegie Mellon CyLab 2010 Corporate Governance survey confirms that there is little change in senior management’s views towards data security – it’s not really a priority.   The CyLab annual survey, which measures board and management attitudes towards the protection of digital assets, is based upon results received from respondents at the board or [...]