Welcome!

@CloudExpo Authors: Elizabeth White, Pat Romanski, Liz McMillan, Yakov Fain, Donald Meyer

News Feed Item

Ninety-Four Percent of Hospitals Surveyed Suffered Data Breaches; Estimated Cost to Healthcare Industry Averages $7 Billion

Errors and Cyber Attacks Are Culprits; Mobile and Cloud Threats Loom; Patients at Risk for Medical Identity Theft

TRAVERSE CITY, Mich. and PORTLAND, Ore., Dec. 6, 2012 /PRNewswire/ -- The Third Annual Benchmark Study on Patient Privacy & Data Security by Ponemon Institute, sponsored by ID Experts®, reports that healthcare organizations face an uphill battle in their efforts to stop data breaches. Ninety-four percent of healthcare organizations surveyed suffered at least one data breach; 45 percent of organizations experienced more than five data breaches during the past two years. Data breaches are an ongoing operational risk that could be costing the U.S. healthcare industry an average of $7 billion annually. A new finding indicates that 69 percent of organizations surveyed do not secure medical devices—such as mammogram imaging and insulin pumps—which hold patients' protected health information (PHI). Overall, the research indicates that patients and their PHI are at increased risk for medical identity theft. Risks to patient privacy are expected to increase, as mobile and cloud technology become pervasive. For a free copy of the Third Annual Benchmark Study on Patient Privacy & Data Security, visit http://www2.idexpertscorp.com/ponemon2012/. For the infographic, visit http://www2.idexpertscorp.com/ponemon2012/Infographic/.

(Photo: http://photos.prnewswire.com/prnh/20121206/SF24406-INFO)

Click to Tweet: 94 Percent of Hospitals Suffered #DataBreach; Cost to Healthcare Averages $7 Billion #HIPAA #Ponemon via @IDExperts http://bit.ly/UssmAO

Key Findings of the Research

  • Data breaches in healthcare are growing.

Ninety-four percent of hospitals in this study suffered data breaches during the past two years. Information breached is largely medical files and billing and insurance records. According to the research, 54 percent of organizations have little or no confidence that they can detect all patient data loss or theft. Based on the experience of the 80 healthcare organizations participating in this research, the resulting cost to the U.S. healthcare industry could be $6.87 billion, up from 2011. The average impact of a data breach is $1.2 million per organization.

  • Patients and their information are at risk for medical identity theft.

The causes of data breach cited were loss of equipment (46 percent), employee errors (42 percent), third-party snafu (42 percent), criminal attack (33 percent), and technology glitches (31 percent). More than half of healthcare organizations (52 percent) had cases of medical identity theft. Of the 52 percent of organizations that experienced medical identity theft, 39 percent say it resulted in inaccuracies in the patient's medical record and 26 percent say it affected the patient's medical treatment.

  • Technology trends threaten current landscape.

Mobile devices in the workplace pose threats to patients' PHI. Eighty-one percent of healthcare organizations permit employees to use their own mobile devices—commonly called Bring Your Own Device (BYOD)—often to access organization data. Yet 54 percent of organizations are not confident that these personally owned mobile devices are secure. Another technology threat gaining steam is cloud computing. Ninety-one percent of hospitals surveyed are using cloud-based services; many use cloud services to store patient records, patient billing information, and financial information. Yet, 47 percent of organizations lack confidence in the data security of the cloud.

  • Organizations are taking steps to detect data breaches, but majority lack budget and resources.

This past year, 36 percent of healthcare organizations have made improvements in their privacy and security programs, in response to the threat of audits conducted by the U.S. Department of Health and Human Services Office for Civil Rights. While 48 percent of organizations are now conducing security risk assessments, only 16 percent are conducting privacy risk assessments. Yet, 73 percent still have insufficient resources to prevent and detect data breaches. And 67 percent of organizations don't have controls to prevent and/or quickly detect medical identity theft.

"Healthcare organizations face many challenges in their efforts to reduce data breaches," said Dr. Larry Ponemon, chairman and founder, Ponemon Institute. "This is due in part to the recent explosion of employee-owned mobile devices in the workplace and the use of cloud computing services. In fact, many organizations admit they are not confident they can make certain these devices are secure and that patient data in the cloud is properly protected. Overall, most organizations surveyed say they have insufficient resources to prevent and detect data breaches."

Data Breaches Are a Part of "Doing Business"
"The trend continues: data breaches are increasing, patient information is at risk, yet healthcare organizations continue to follow the same processes," said Rick Kam, president and co-founder of ID Experts. "Clearly, in order for the trend to shift, organizations need to commit to this problem and make significant changes. Otherwise, as the data indicates, they will be functioning in continual operational disruption."

Recommendations for Healthcare Organizations
Kam offers five recommendations for healthcare organizations:

  1. Operationalize pre-breach and post-breach processes, including incident assessment and incident response processes
  2. Restructure the information security function to report directly to the board to symbolize commitment to data privacy and security
  3. Conduct combined privacy and security compliance assessments annually
  4. Update policies and procedures to include mobile devices and cloud
  5. Ensure the Incident Response Plan (IRP) covers business associates, partners, cyber insurance

Free Webinar to Discuss Research Findings
A free webinar Are Emerging Technologies Putting Your Patient Data at Risk?, featuring the Ponemon Institute and Providence Health & Services, will be held Thursday, December 6, 2012 at 1:00 p.m. ET. To register, visit http://bit.ly/UILqao.

About the Study
The Third Annual Benchmark Study on Patient Privacy & Data Security utilized in-depth, field-based research involving interviews with senior-level personnel at healthcare providers to collect information on the actual data loss and data theft experiences at their organizations. This benchmark research, in contrast to a traditional survey-based approach, enables researchers to collect both the qualitative and quantitative data necessary to understand the current status of patient privacy and data security in the healthcare organizations that participated in the study.

About Ponemon Institute
Ponemon Institute is dedicated to advancing responsible information and privacy management practices in business and government. To achieve this objective, the Institute conducts independent research, educates leaders from the private and public sectors and verifies the privacy and data protection practices of organizations in a variety of industries.

About ID Experts
ID Experts delivers complete data breach care. The company's solutions in data breach prevention, analysis and response are endorsed by the American Hospital Association, meet regulatory compliance and achieve the most positive outcomes for its customers. ID Experts is a leading advocate for privacy as a contributor to legislation, a corporate and active member in both the IAPP and HIMSS, a corporate member of HCCA and chairs the ANSI Identity Management Standards Panel PHI Project. For more information, join the LinkedIn All Things HITECH discussion at bit.ly/AllThingsHITECH or All Things Data Breach at http://linkd.in/TsbwgJ; follow ID Experts on Twitter @IDExperts; and visit http://www2.idexpertscorp.com/.

Note to Media:
Please visit the media resource site at http://www2.idexpertscorp.com/ponemon2012/Media-Resources-Ponemon-2012/. To schedule an interview with Rick Kam or Dr. Larry Ponemon, please contact [email protected].

SOURCE ID Experts; Ponemon Institute

More Stories By PR Newswire

Copyright © 2007 PR Newswire. All rights reserved. Republication or redistribution of PRNewswire content is expressly prohibited without the prior written consent of PRNewswire. PRNewswire shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.

@CloudExpo Stories
In today's enterprise, digital transformation represents organizational change even more so than technology change, as customer preferences and behavior drive end-to-end transformation across lines of business as well as IT. To capitalize on the ubiquitous disruption driving this transformation, companies must be able to innovate at an increasingly rapid pace. Traditional approaches for driving innovation are now woefully inadequate for keeping up with the breadth of disruption and change facin...
The Internet of Things (IoT) is growing rapidly by extending current technologies, products and networks. By 2020, Cisco estimates there will be 50 billion connected devices. Gartner has forecast revenues of over $300 billion, just to IoT suppliers. Now is the time to figure out how you’ll make money – not just create innovative products. With hundreds of new products and companies jumping into the IoT fray every month, there’s no shortage of innovation. Despite this, McKinsey/VisionMobile data...
SYS-CON Events announced today that Super Micro Computer, Inc., a global leader in Embedded and IoT solutions, will exhibit at SYS-CON's 18th International Cloud Expo®, which will take place on June 7-9, 2016, at the Javits Center in New York City, NY. Supermicro (NASDAQ: SMCI), the leading innovator in high-performance, high-efficiency server technology, is a premier provider of advanced server Building Block Solutions® for Data Center, Cloud Computing, Enterprise IT, Hadoop/Big Data, HPC and ...
How will your company move to the cloud while ensuring a solid security posture? Organizations from small to large are increasingly adopting cloud solutions to deliver essential business services at a much lower cost. According to cyber security experts, the frequency and severity of cyber-attacks are on the rise, causing alarm to businesses and customers across a variety of industries. To defend against exploits like these, a company must adopt a comprehensive security defense strategy that is ...
As organizations shift towards IT-as-a-service models, the need for managing and protecting data residing across physical, virtual, and now cloud environments grows with it. Commvault can ensure protection, access and E-Discovery of your data – whether in a private cloud, a Service Provider delivered public cloud, or a hybrid cloud environment – across the heterogeneous enterprise. In his general session at 18th Cloud Expo, Randy De Meno, Chief Technologist - Windows Products and Microsoft Part...
The IoTs will challenge the status quo of how IT and development organizations operate. Or will it? Certainly the fog layer of IoT requires special insights about data ontology, security and transactional integrity. But the developmental challenges are the same: People, Process and Platform. In his session at @ThingsExpo, Craig Sproule, CEO of Metavine, will demonstrate how to move beyond today's coding paradigm and share the must-have mindsets for removing complexity from the development proc...
SYS-CON Events announced today that MangoApps will exhibit at SYS-CON's 18th International Cloud Expo®, which will take place on June 7-9, 2016, at the Javits Center in New York City, NY. MangoApps provides modern company intranets and team collaboration software, allowing workers to stay connected and productive from anywhere in the world and from any device. For more information, please visit https://www.mangoapps.com/.
SYS-CON Events announced today TechTarget has been named “Media Sponsor” of SYS-CON's 18th International Cloud Expo, which will take place on June 7–9, 2016, at the Javits Center in New York City, NY, and the 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. TechTarget is the Web’s leading destination for serious technology buyers researching and making enterprise technology decisions. Its extensive global networ...
SYS-CON Events announced today that Commvault, a global leader in enterprise data protection and information management, has been named “Bronze Sponsor” of SYS-CON's 18th International Cloud Expo, which will take place on June 7–9, 2016, at the Javits Center in New York City, NY, and the 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. Commvault is a leading provider of data protection and information management...
The essence of data analysis involves setting up data pipelines that consist of several operations that are chained together – starting from data collection, data quality checks, data integration, data analysis and data visualization (including the setting up of interaction paths in that visualization). In our opinion, the challenges stem from the technology diversity at each stage of the data pipeline as well as the lack of process around the analysis.
Many banks and financial institutions are experimenting with containers in development environments, but when will they move into production? Containers are seen as the key to achieving the ultimate in information technology flexibility and agility. Containers work on both public and private clouds, and make it easy to build and deploy applications. The challenge for regulated industries is the cost and complexity of container security compliance. VM security compliance is already challenging, ...
SYS-CON Events announced today that Alert Logic, Inc., the leading provider of Security-as-a-Service solutions for the cloud, will exhibit at SYS-CON's 18th International Cloud Expo®, which will take place on June 7-9, 2016, at the Javits Center in New York City, NY. Alert Logic, Inc., provides Security-as-a-Service for on-premises, cloud, and hybrid infrastructures, delivering deep security insight and continuous protection for customers at a lower cost than traditional security solutions. Ful...
A strange thing is happening along the way to the Internet of Things, namely far too many devices to work with and manage. It has become clear that we'll need much higher efficiency user experiences that can allow us to more easily and scalably work with the thousands of devices that will soon be in each of our lives. Enter the conversational interface revolution, combining bots we can literally talk with, gesture to, and even direct with our thoughts, with embedded artificial intelligence, wh...
In his session at 18th Cloud Expo, Bruce Swann, Senior Product Marketing Manager at Adobe, will discuss how the Adobe Marketing Cloud can help marketers embrace opportunities for personalized, relevant and real-time customer engagement across offline (direct mail, point of sale, call center) and digital (email, website, SMS, mobile apps, social networks, connected objects). Bruce Swann has more than 15 years of experience working with digital marketing disciplines like web analytics, social med...
Designing IoT applications is complex, but deploying them in a scalable fashion is even more complex. A scalable, API first IaaS cloud is a good start, but in order to understand the various components specific to deploying IoT applications, one needs to understand the architecture of these applications and figure out how to scale these components independently. In his session at @ThingsExpo, Nara Rajagopalan is CEO of Accelerite, will discuss the fundamental architecture of IoT applications, ...
Enterprise networks are complex. Moreover, they were designed and deployed to meet a specific set of business requirements at a specific point in time. But, the adoption of cloud services, new business applications and intensifying security policies, among other factors, require IT organizations to continuously deploy configuration changes. Therefore, enterprises are looking for better ways to automate the management of their networks while still leveraging existing capabilities, optimizing perf...
SYS-CON Events announced today that Tintri Inc., a leading producer of VM-aware storage (VAS) for virtualization and cloud environments, will exhibit at the 18th International CloudExpo®, which will take place on June 7-9, 2016, at the Javits Center in New York City, New York, and the 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA.
SYS-CON Events announced today that ContentMX, the marketing technology and services company with a singular mission to increase engagement and drive more conversations for enterprise, channel and SMB technology marketers, has been named “Sponsor & Exhibitor Lounge Sponsor” of SYS-CON's 18th Cloud Expo, which will take place on June 7-9, 2016, at the Javits Center in New York City, New York. “CloudExpo is a great opportunity to start a conversation with new prospects, but what happens after the...
SYS-CON Events announced today that EastBanc Technologies will exhibit at SYS-CON's 18th International Cloud Expo®, which will take place on June 7-9, 2016, at the Javits Center in New York City, NY. EastBanc Technologies has been working at the frontier of technology since 1999. Today, the firm provides full-lifecycle software development delivering flexible technology solutions that seamlessly integrate with existing systems – whether on premise or cloud. EastBanc Technologies partners with p...
SYS-CON Events announced today that AppNeta, the leader in performance insight for business-critical web applications, will exhibit and present at SYS-CON's @DevOpsSummit at Cloud Expo New York, which will take place on June 7-9, 2016, at the Javits Center in New York City, NY. AppNeta is the only application performance monitoring (APM) company to provide solutions for all applications – applications you develop internally, business-critical SaaS applications you use and the networks that deli...