FTC Reverses ALJ Decision on LabMD Data Security Case
Last year, an Administrative Law Judge (ALJ) dismissed a data security case filed against the medical testing laboratory LabMD Inc., by the Federal Trade Commission (FTC). On Friday last week, the FTC announced that the decision has been overturned and LabMD is liable for unfair data security practices. The FTC had accused LabMD of violating Section 5 of the Federal Trade Commission Act by failing to protect sensitive information of consumers. The FTC maintained that data security practices at LabMD were “unreasonable and constituted an unfair act or practice”. In a 3-0 vote, the ALJ’s decision was overturned. The ALJ had previously dismissed the case as the FTC had failed to establish that consumers had come to harm as a result of the security failures. The FTC concluded that the ALJ had applied the wrong legal standard for unfairness. LabMD had been supplied with a substantial amount of consumer data which was stored for a number of years. The types of data supplied to the company included sensitive medical and personal information of healthcare patients. In total, the data of...
Uncommon Care PA Informs 13,674 Patients of Potential PHI Breach
It has been a little over seven months since Bizmatics Inc., discovered malware on a server used for its PrognoCIS EMR tool and breach reports are still being issued to the Office for Civil Rights by the company’s healthcare clients. Two further healthcare providers have now announced they have been affected by the Bizmatics breach: Uncommon Care, PA., and the Lifewellness Institute. OCR was notified of the breach of Uncommon Care patients’ data on June 21, 2016, although it has taken a while for the entry to appear on the breach portal and for a substitute breach notice to be uploaded to the Uncommon Care website. The breach notice explains that while the healthcare provider was notified of the potential breach in April 2016, it was not clear whether patients’ PHI had actually been viewed or obtained by unauthorized persons. Uncommon Care attempted to determine the extent to which patients were at risk, but Bizmatics was unable to confirm whether the PHI of patients had actually been viewed, only that access to data was possible during the time that malware was present on its...
HHS Offers Funding to Improve Healthcare Threat Intelligence Sharing
Cybercriminals are conducting increasingly sophisticated attacks on healthcare organizations and the number of threats each organization has to deal with has increased significantly in recent years. Criminal attacks on healthcare organizations have increased by 125% in the past five years and cyber-attacks are now the biggest cause of healthcare data breaches. Healthcare organizations now face an uphill battle to keep health data private. While large healthcare organizations can obtain timely threat intelligence, smaller organizations often lack the necessary resources to commit to cybersecurity defenses, let alone employ the staff to keep abreast of the latest threats. Many healthcare organizations simply do not have access to up to date intelligence on the latest cybersecurity threats. It is therefore difficult for them to make informed decisions on the best steps to take to prepare for cyberattacks. The Department of Health and Human Services is well aware of the problems some healthcare organizations experience when it comes to obtaining threat intelligence, and how critical it...
Med Students Violating HIPAA by Tracking Patients on EHRs
Medical students are using hospital electronic health records to track former patients, even though by doing so they are potentially violating the Health Insurance Portability and Accountability Act (HIPAA). While it is known that the practice occurs, little research has been performed to determine the extent to which EHRs are accessed and the exact reasons why patients are tracked. In August 2013, Gregory E. Brisson, MD of Northwestern University Feinberg School of Medicine in Chicago, IL and Patrick D. Tyler, MD of Beth Israel Deaconess Medical Center in Boston, MA conducted a survey on 169 students from one academic healthcare center to investigate medical students’ use of EHRs to track patients. The findings of the study have recently been published in JAMA Internal Medicine. The study revealed that the vast majority of medical students were using EHRs to track former patients. 96.1% of medical students admitted that they had previously used EHRs to track former patients. 92.9% of students said there were educational benefits to be gained from following up on patients’ progress...
American Family Care Announces 7200-Patient PHI Breach
Birmingham, AL-based healthcare provider, American Family Care, has alerted 7,200 patients to a breach of protected health information that was caused as a result of a third party software error. An unauthorized individual gained access to systems used to store ePHI on multiple occasions over a period of 10 months. Affected individuals had a limited amount of PHI exposed on CDs containing X-ray images that were provided to patients. American Family Care conducted a thorough investigation and determined that there was a fault with the design and installation of third party software which resulted in the PHI of patients being exposed. No Social Security numbers, medical information, Driver’s license numbers, or insurance information were exposed, although affected patients did have their name, medical record number, date of birth, and gender exposed as a result of the error. The breaches of PHI occurred at four American Family Care Clinics: AFC Smyrna in Tennessee, and AFC’s Alabaster, Flintridge, and Wetumpka clinics in Alabama. Affected patients had visited the clinic between...



