Senate Bill Seeks to Expand Use of AI Technologies in Healthcare and Reimburse for Adoption
A legislative discussion draft has been introduced in the Senate that seeks input from industry stakeholders, clinicians, and policy experts on expanding the use of AI tools in healthcare, while ensuring transparency, patient safety, and compliance with data privacy and security laws. The bill seeks to develop a more predictable and consistent framework for review of AI technologies and establish a reimbursement pathway for adoption of AI-based tools in healthcare. The bill, the Protecting Americans Through Intelligent, Ethical, and Transparent Artificial Intelligence in Health Care (PATIENT AI) Act, was introduced by Senate HELP Committee chair, Senator Dr. Bill Cassidy (R-LA). The bill calls for the U.S. Department of Health and Human Services to engage a nonprofit organization to examine and develop recommendations concerning liability related to AI-based applications in healthcare settings and identify any potential issues. The Comptroller General should produce a report examining public proposals for establishing transparency and explainability measures for the development,...
Data Breaches Announced by HCA Healthcare; Blossom Health
Data breaches have been announced by HCA Healthcare, Blossom Health, El Camino Health, and University of Mississippi Medical Center. HCA Healthcare Inc. Nashville, Tennessee-based HCA Healthcare Inc., the operator of 189 hospitals and approximately 2,600 ambulatory sites of care in 19 U.S. states, has disclosed a cybersecurity incident that was first identified on August 12, 2026. Patient and employee data were compromised in the incident. Suspicious activity was identified within certain IT systems, and the forensic investigation confirmed unauthorized access to those systems on August 12, 2026. HCA Healthcare confirmed that the threat actor obtained copies of certain HR files containing medical resident personal information. The review of the impacted files confirmed that they contained information related to employment, including name, date of birth, email address, phone number, Social Security number, and immigration information. Patient data was also compromised related to certain affiliated facilities and physician offices. Patient data exposed in the incident included names,...
University Hospitals Working on Restoring Systems After Cyberattack
University Hospitals is working on restoring systems after an October 22 cyberattack. Cybersecurity incidents have also been announced by EyeMed Vision Care and Facial Surgery Group. University Hospitals Cleveland, Ohio-based University Hospitals, a 21-hospital health system, is dealing with a cybersecurity incident that was identified on October 22, 2026. University Hospitals activated its incident response protocols and implemented containment measures, which included taking digital services offline, including its MyChart patient portal, while the incident is investigated and mitigated. University Hospitals is still working on safely restoring the affected systems, and in a November 2, 2026, update, confirmed that systems remained offline. A timeline for the restoration of normal business operations cannot be provided. The health system confirmed that its hospitals, emergency departments, and physician offices remain open, but the incident has disrupted pre-authorizations, and some appointments and elective procedures have had to be rescheduled. The nature of the cyberattack,...
$2 Million Settlement Resolves Covenant Health Data Breach Lawsuit
Covenant Health, St. Joseph Healthcare Foundation, St. Joseph Hospital, St. Joseph Hospital Nashua, N.H., and other Covenant Health facilities were named as defendants in multiple class action lawsuits stemming from a 2025 cybersecurity incident. A $2 million settlement has been agreed to resolve the litigation. Suspicious activity was identified within Covenant Health’s computer systems on May 26, 2025. The forensic investigation determined that its network was first accessed by an unauthorized third party on May 18, 2025. The compromised parts of the network contained the protected health information of 502,606 individuals, including their names, addresses, dates of birth, medical record numbers, Social Security numbers, health information, and health insurance information. Notification letters started to be mailed to the affected individuals on July 11, 2025. Multiple class action lawsuits were filed in response to the data breach, which were consolidated into a single complaint – In re: Covenant Health Data Security Litigation – in the Penobscot County Superior...
Hospital Español Auxilio Mutuo de Puerto Rico Settles Data Breach Lawsuit
A settlement has been agreed to resolve class action litigation against Hospital Español Auxilio Mutuo de Puerto Rico to resolve claims related to a 2023 cybersecurity incident and data breach. The incident that sparked the lawsuit was identified by the U.S. Department of Homeland Security (DHS). DHS notified Hospital Español on September 23, 2023, that a cybercriminal actor had likely breached its network. The investigation confirmed that its network had likely been compromised, although it was not initially clear whether patient data was involved. A year later, on September 24, 2024, internal and external cybersecurity experts concluded that its network was compromised between August 2022 and September 2023 and that patient data was likely exfiltrated. Data compromised in the incident included names, contact information, health information, health insurance information, billing and claims information, Social Security numbers, and other government-issued ID numbers. Notification letters were mailed to the affected individuals on April 21, 2025, 575 days after the hospital learned...



