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ARTICLE · 24 OCTOBER 2018

Data Breach Fines On The Rise With Record HHS Settlement

Frankfurt Kurnit Klein & Selz PC
Frankfurt Kurnit Klein & Selz PC
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Frankfurt Kurnit Klein & Selz PC

Frankfurt Kurnit Klein & Selz PC

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Yesterday, the U.S. Department of Health and Human Services ("HHS") announced a new record settlement for a data breach involving electronic protected health information ("ePHI").

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Yesterday, the U.S. Department of Health and Human Services ("HHS") announced a new record settlement for a data breach involving electronic protected health information ("ePHI"). With regulators becoming more aggressive, fines ramping up, and a changing regulatory regime in both the U.S. and the E.U., it is becoming very expensive not to take data security and data incident response seriously.

Anthem, Inc., one of America's largest health insurance companies, agreed to pay $16 million to the HHS to settle potential violations of the Health Insurance Portability and Accountability Act ("HIPAA") for a data breach in 2015 that resulted in the exposure of 79 million individuals' ePHI records. According to HHS, the allegations that resulted in a record settlement  consisted of Anthem's alleged failure "to identify and respond to suspected or known security incidents" as well as insufficient procedures to regularly review information system activity, failure to conduct an

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This post first appeared in Frankfurt Kurnit's Focus on the Data blog (www.focusonthedata.com). It provides general coverage of its subject area. We provide it with the understanding that Frankfurt Kurnit Klein & Selz is not engaged herein in rendering legal advice, and shall not be liable for any damages resulting from any error, inaccuracy, or omission. Our attorneys practice law only in jurisdictions in which they are properly authorized to do so. We do not seek to represent clients in other jurisdictions.

Originally published by the New York Legal Ethics Reporter

www.fkks.com

This alert provides general coverage of its subject area. We provide it with the understanding that Frankfurt Kurnit Klein & Selz is not engaged herein in rendering legal advice, and shall not be liable for any damages resulting from any error, inaccuracy, or omission. Our attorneys practice law only in jurisdictions in which they are properly authorized to do so. We do not seek to represent clients in other jurisdictions.

www.fkks.com

This alert provides general coverage of its subject area. We provide it with the understanding that Frankfurt Kurnit Klein & Selz is not engaged herein in rendering legal advice, and shall not be liable for any damages resulting from any error, inaccuracy, or omission. Our attorneys practice law only in jurisdictions in which they are properly authorized to do so. We do not seek to represent clients in other jurisdictions.

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