The U.S. Department of Health and Human Services Office for Civil Rights (OCR) recently announced that it had entered into a Resolution Agreement, Corrective Action Plan, and settlement with Lifetime Healthcare, Inc., the parent of Excellus Health Plan, over alleged violations of HIPAA relating to a data breach that occurred from December 23, 2013 through May 11, 2015. During that time, a cybercriminal obtained access to its IT systems and installed malware that allowed the intruder to obtain access to the protected health information of more than 9.3 million individuals.

The accessed information included the individuals’ names, addresses, dates of birth, Social Security numbers, bank account information, health insurance claims, and clinical treatment information.

Following an investigation, OCR found potential violations of HIPAA and the parties agreed to settle the action for a payment of $5.1 million, along with the standard requirements in a Corrective Action Plan that OCR imposes on covered entities following a data breach, including completion of a security risk assessment, implementation of a risk management plan, updating policies and procedures, and annual reporting to OCR.

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Photo of Linn Foster Freedman Linn Foster Freedman

Linn Freedman is chair of the firm’s Data Privacy + Security Team. She is also an active member of firm’s Health Law Group, education practice, Environmental + Utilities Group, Insurance + Reinsurance Group, and Business Litigation Group. Her practice focuses on data privacy…

Linn Freedman is chair of the firm’s Data Privacy + Security Team. She is also an active member of firm’s Health Law Group, education practice, Environmental + Utilities Group, Insurance + Reinsurance Group, and Business Litigation Group. Her practice focuses on data privacy and security law, responses to data breaches, compliance with federal and state privacy and security laws, breach notification laws, and assisting clients with regulatory investigations.

Ms. Freedman is experienced in providing counsel to health care organizations, Regional Health Information Organizations, and privacy and security issues related to interoperability of electronic health records. She has litigated complex cases, including privacy cases, and class action data breach litigation in state, federal, and appellate courts, government investigations, and serves as general counsel of the Rhode Island Quality Institute. Read her full rc.com bio here.