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Archive for the ‘Medical Identity Theft’ Category

The ways that health care providers lose confidential patient / client information.
Also, the ways thieves have medical procedures done with a stolen identity to avoid the cost.

How Oregon Senate Bill 583 effects your business

Posted by MDT on April 22, 2008

The Oregon Consumer Identity Theft Protection Act – Effective January 1, 2008

CLICK HERE (pdf) SENATE BILL 583

Your business must implement an information security program that includes the following:
-Establish administrative safeguards.

-Designate one or more employees to coordinate the security program.

-Identify reasonably foreseeable internal and external risks.

-Assess the sufficiency of safeguards in place to control the identified risks.

-Select service providers capable of maintaining appropriate safeguards, and require those safeguards by contract.

-Adjust the security program in light of business changes or new circumstances.

Technical safeguards such as the following:

-Assess risks in network and software design.

-Assess risks in information processing, transmission and storage.

-Detect, prevent and respond to attacks or system failures.

-Regularly tests and monitors the effectiveness of key controls, systems and procedures.

Physical safeguards such as the following:

-Assess risks of information storage and disposal.

-Detects, prevents and responds to intrusions.

-Protect against unauthorized access to or use of personal information during or after the collection, transportation and destruction or disposal of the information.

-Dispose of personal information after it is no longer needed for business purposes or as required by local, state or federal law by burning, pulverizing, shredding or modifying a physical record and by destroying or erasing electronic media so that the information

Posted in Business-Based ID Theft, Government-Based ID Theft, Medical Identity Theft, Oregon Law (SB_583) | Leave a Comment »

Medical identity theft: don’t be a victim

Posted by MDT on April 22, 2008

Monday, April 21, 2008

Many people are familiar with identity theft, in which con artists use another person’s personal information to commit fraud. Identity theft encompasses a range of crimes, from using a stolen credit card to make an illegal purchase to employing a pilfered Social Security number to establish a new identity.

One truly alarming twist on this trend is medical identity theft, a crime that can threaten your family’s well-being. The Minnesota Society of CPAs (MNCPA) offers an overview of medical identity theft and steps you can take to avoid becoming a victim.

Anatomy of a crime

Much like other identity thieves, medical ID thieves steal personal data, typically insurance information or Social Security numbers. The difference is that these scams involve health care.

1) These thieves may use your identity to get medical care or medications. That’s not the only danger, though.

2) In some cases, dishonest health care providers or a thief may use stolen personal information to file a false claim and receive reimbursement from an insurance company.

3) If you are the victim of medical ID theft, you likely will not be aware that your data has been stolen and that your medical records now show a history of illnesses or procedures that you have never actually had.

An added danger

Unlike conventional identity theft, medical identity theft can actually endanger your health. If a thief has medical procedures performed using your identity, that person’s medical history is now added to your own. Medical identity theft victims who go into the hospital for needed procedures have found out that their records show incorrect information about previous medical conditions. As a result of such mix-ups, patients may receive the wrong blood type in a transfusion or be given a drug to which they’re allergic. There are financial consequences as well. Victims often face credit problems after thieves ring up unpaid bills in their name, which can damage their credit ratings.

Look for warning signs

Medical identity thieves carefully conceal their actions, but there are warning signs that can alert you to a possible problem. For example, you may get a communication from your insurer or a bill from a physician that refers to an unfamiliar medical visit or service. You may also receive notices demanding payments for medical bills in your name. If any of these occur, contact the insurance company or physician immediately to find out more information. The World Privacy Forum also recommends that you ask your insurer for a listing of benefits paid in your name and request a copy of your current medical files from all your insurers.

A personal health record

It’s a good idea to keep a personal health record that details any illnesses you have had, medical services you’ve received and medications that you take. It will help you answer questions about your health and identify potential medical ID theft when something on your records doesn’t make sense.

Do you have further concerns about potential fraud risks facing your family? Your local CPA can help. Consult him or her with any questions you have on these or other financial issues.

Posted in Business-Based ID Theft, Medical Identity Theft, Personal ID Theft Articles | Leave a Comment »

Warning on Storage of Health Records

Posted by MDT on April 17, 2008

By STEVE LOHR

In an article in The New England Journal of Medicine, two leading researchers warn that the entry of big companies like Microsoft and Google into the field of personal health records could drastically alter the practice of clinical research and raise new challenges to the privacy of patient records.

The authors, Dr. Kenneth D. Mandl and Dr. Isaac S. Kohane, are longtime proponents of the benefits of electronic patient records to improve care and help individuals make smarter health decisions.

But their concern, stated in the article published Wednesday and in an interview, is that the medical profession and policy makers have not begun to grapple with the implications of companies like Microsoft and Google becoming the hosts for vast stores of patient information.

The arrival of these new corporate entrants, the authors write, promises to bring “a seismic change” in the control and stewardship of patient information.

Today, most patient records remain within the health system — in doctors’ offices, hospitals, clinics, health maintenance organizations and pharmacy networks. Federal regulations govern how personal information can be shared among health institutions and insurers, and the rules restrict how such information can be mined for medical research. One requirement is that researchers have no access to individual patients’ identities.

Under the current system, individuals can request their own health records, but it is often a cumbersome process because information is scattered across several institutions.

As part of a push toward greater individual control of health information, Microsoft and Google have recently begun offering Web-based personal health records. The journal article’s authors describe a new “personalized, health information economy” in which consumers tell physicians, hospitals and other providers what information to send into their personal records, stored by Microsoft or Google. It is the individual who decides with whom to share that information and under what terms.

But Microsoft and Google, the authors note, are not bound by the privacy restrictions of the Health Insurance Portability and Accountability Act, or Hipaa, the main law that regulates personal data handling and patient privacy. Hipaa, enacted in 1996, did not anticipate Web-based health records systems like the ones Microsoft and Google now offer.

The authors say that consumer control of personal data under the new, unregulated Web systems could open the door to all kinds of marketing and false advertising from parties eager for valuable patient information.
Despite their warnings, Dr. Mandl and Dr. Kohane are enthusiastic about the potential benefits of Web-based personal health records, including a patient population of better-informed, more personally responsible health consumers.

“In very short order, a few large companies could hold larger patient databases than any clinical research center anywhere,” Dr. Mandl said in an interview.

But the authors see a need for safeguards, suggesting a mixture of federal regulation — perhaps extending Hipaa to online patient record hosts — contract relationships, certification standards and consumer education programs.
“I’m a great believer in patient autonomy in general, but there is going to have to be some measure of limited paternalism,” Dr. Kohane said in an interview.

Peter Neupert, the vice president in charge of Microsoft’s health group, said that he admired the authors and that they raised some important issues. But he resisted the suggestion of extending Hipaa to newcomers like Microsoft and Google.

“Philosophically and politically, I am skeptical of the concept of paternalism,” Mr. Neupert said in an e-mail response to the article, which he was sent, and to the authors’ comments. “It never turns out to be ‘limited.”
Designing a health records system that clearly informs consumers and requires their consent for data use is the better approach, Mr. Neupert said.

“We have to earn the consumer’s trust for our brand,” he said. “So I can imagine a scenario where we have a third party verify that our system works the way we assert it does,” much as an auditor reviews a company’s financial reporting.

Dr. Mandl and Dr. Kohane are physicians and researchers at Children’s Hospital Boston, the primary pediatric teaching hospital of the Harvard Medical School.

Posted in Medical Identity Theft, Personal ID Theft Articles | Leave a Comment »

Horizon Blue Cross-Blue Shield: 300,000 are at risk of identify theft.

Posted by MDT on January 30, 2008

CHIUSANO SAYS MASSIVE HORIZON IDENTITY THEFT WARRANTS STATE, FEDERAL INVESTIGATIONS

Release Date: Jan 30 2008

WITH HUNDREDS OF THOUSANDS OF NJ RESIDENTS AT RISK, LEADER CALLS ON ASSEMBLY SPEAKER AND SENATE PRESIDENT TO CONVENE JOINT LEGISLATIVE HEARINGS

Assemblyman Gary Chiusano today called for an investigation by the Attorney General and the U.S. Attorney into a startling admission by Horizon Blue Cross Blue Shield of New Jersey that some 300,000 of its subscribers are at risk of identify theft.

“Horizon is one of the state’s largest health insurance companies and the major provider of benefits for public employees, many of whom are retired and have moved out of state,” said Chiusano, R-Sussex, Morris and Hunterdon. “It is outrageous that such a security breach could happen, and its repercussions could certainly cross state lines.”

In addition to an investigation by state and federal law enforcement, Chiusano, a member of the Assembly Financial Institutions and Insurance Committee, also called for the security breach to be the subject of a joint legislative hearing with the Senate.

He plans to introduce legislation that would force Horizon to pick up any legal costs and to reimburse for damages suffered as result of any identify theft crimes stemming from its negligence in this matter.

“Horizon needs to explain how the names, addresses and social security numbers of 300,000 out of its more than 3,000,000 subscribers were entrusted to an employee’s laptop computer and why any employee should be allowed to take such information home,” Chiusano said. “Given the vast scope of the monetary damages subscribers can suffer, I don’t see how a complimentary, one-year membership in a credit monitoring service is sufficient compensation for this blunder. Hundreds of thousands of people could be the victim of identify theft once a year has elapsed.”

Horizon says the laptop containing the personal information was stolen from an employee’s home.

Posted in Medical Identity Theft, Personal ID Theft Articles | Leave a Comment »