Malware Attack Results in Corruption of Medical Records: 30,000 Patients Affected
On November 21, 2019, Fondren Orthopedic Group, an association of private orthopedic surgery practitioners in Houston and the surrounding areas, experienced a cyberattack that affected certain parts of its IT system. In a substitute breach notice posted on its website, the incident was described as a malware attack that damaged the medical records of certain patients. Prompt action was taken to contain the infection and its systems were restored; however, the medical records corrupted by the malware could not be recovered and have been permanently lost. The corrupted records included patients’ names, addresses, telephone numbers, health insurance information, and diagnosis and treatment information. All patients affected by the incident were current or former patients of Dr. K. Matthew Warnock. Third party forensic investigators were engaged to assist with the investigation and found no evidence of unauthorized data access or exfiltration of data. Fondren Orthopedic Group is reviewing data security policies and procedures and will be enhancing its security protocols to improve...
Average Ransomware Payment Increased Sharply in Q4, 2019
A new report from the ransomware incident response firm Coveware shows payments made by ransomware victims increased sharply in Q4, 2019. The average ransomware payment doubled in Q4, as two of the most prolific ransomware gangs – Sodinokibi and Ryuk – shifted their attention to attacking large enterprises. In Q3, 2019 the average ransom payment was $41,198. In Q4, that figure jumped to $84,116, with a median payment of $41,179. The large increase in ransom amounts is largely due to changing tactics of the two main ransomware gangs, Ryuk especially. Ryuk is now heavily focused on attacking large enterprises. The average number of employees at victim companies increased from 1,075 in Q3 to 1,686 in Q4. The largest ransom amount was $779,855.5 in Q4; a considerable jump from the largest demand of $377,027 in Q3. In Q4, the most prevalent ransomware threats were Sodinokibi (29.4%), Ryuk (21.5%), Phobos (10.7%), Dharma (9.3%), DoppelPaymer (6.1%), and NetWalker (5.1%). 10.7% of attacks involved the Rapid, Snatch, IEncrypt or GlobeImposter ransomware variants. Many of the above...
Data Breaches Reported by Manchester Ophthalmology, UnitedHealthcare, and Cook County Health
Manchester Ophthalmology in Connecticut has experienced a cyberattack in which the attackers may have gained access to patient information. The eye care provider became aware of the cyberattack on November 25, 2019 when employees noticed unusual activity on the network. Assisted by a third-party technology firm, it was determined later that day that hackers had gained access to its systems and attempted to deploy ransomware. Access was first gained to the network on November 22, 2019 and continued until November 25. The investigation found no evidence to suggest any patient information was accessed or downloaded by the attackers, but during the investigation it was determined that certain patient information had not been backed up and could not be recovered. The types of data lost included names, patient-created medical histories, and details of the care those patients received at Manchester Ophthalmology. Patients have been advised to exercise caution and monitor their accounts and explanation of benefits statements for any sign of fraudulent use of their information. Manchester...
NIST Seeks Comment on Two Draft Cybersecurity Practice Guides on Ransomware and Other Data Integrity Events
The National Cybersecurity Center of Excellence at NIST (NCCoE) has released two draft cybersecurity practice guides on ransomware and other destructive events. The first guide concerns identifying and protecting assets (SP 1800-25) and the second concerns detection and response to cyberattacks that compromise data integrity (SP 1800-26). The guides consist of three volumes, an executive summary; approach, architecture and security characteristics; and how-to guides. They are intended to be used by executives, chief Information security officers, system administrators, or individuals who have a stake in protecting their organizations’ data, privacy, and overall operational security. The first guide concerns the first two core functions of the NIST Cybersecurity Framework: Identify and Protect. Organizations need to take steps to protect their assets from ransomware, destructive malware, malicious insiders, and accidental data loss. In order to protect assets, organizations must first identify where they are located. Only then can the necessary steps be taken to secure those...
How One Company is Helping to Drive Down the Cost of U.S. Healthcare and Improve Patient Outcomes
2019 Health Statistics published by the Organisation for Economic Co-operation and Development’s (OECD) show healthcare expenditures in the United States are significantly higher than those in other developed countries. A 2018 Harvard study of 11 developed countries showed the United States had the highest healthcare costs relative to its GDP out of all 11 countries studied. Per capita healthcare spending was found to be almost twice that of other wealthy, developed countries. Higher costs are not necessarily bad if they translate into better patient outcomes, but the OECD figures show that is not the case. The United States performed poorly for patient outcomes, even though the costs of healthcare are so high. Reducing the cost of healthcare is a major challenge and there is no silver bullet, but there are ways for costs to be reduced and for patient outcomes to be improved. The Trump Administration is committed to reducing the cost of healthcare through executive orders and HHS rulings. In November 2018 an executive order – Improving Price and Quality Transparency in...



