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Massachusetts Hospital Settles Data Breach Case

Pays $1.5 million to federal health agency

Friday, September 21, 2012
Massachusetts Hospital Settles Data Breach CaseOne of the best-known hospitals in Boston recently reached an agreement with the U.S. Department of Health and Human Services to settle a suit over potential violations of data security laws.

Massachusetts Eye and Ear Associates, Inc. will pay DHHS $1.5 million to settle the case, which stems from a data breach a few years ago, according to a report from the agency. The suit was brought against MEEI was over whether it violated the Health Insurance Portability and Accountability Act's security rules.

"In an age when health information is stored and transported on portable devices such as laptops, tablets, and mobile phones, special attention must be paid to safeguarding the information held on these devices,” said Leon Rodriguez, director of DHHS's Office for Civil Rights.

Another part of the settlement mandates that MEEI will have to follow a corrective action plan and submit semi-annual reports on its compliance with DHHS, the report said.

Ondrej Krehel, the chief information security officer for Identity Theft 911, has a blog about the ways in which consumers may be affected by data breaches.

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