Data Breach Coverage Denied

datalossCI recently spoke with Amy Wood the Pres and HIPAA Security Administrator at ACS Technologies. She advised me that she has been working on several data breach cases. The most alarming was a dentist who had her server stolen from the office by burglars. Theft of a computer is by far the most common form of data breach in medicine and dentistry.

There is no evidence the missing data has been used in any way by identity thieves. The doctor has done all the things prescribed by the HIPAA Breach regulations and is now facing an investigation from OCR. So far her out of pocket expenses are around $200,000. It is possible OCR will impose additional fines if they believe her data safety policies were inadequate.

The doctor thought she had cyber-crime data protection coverage with her dental professional liability company.  The insurance company denied the claim.

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