{"id":410,"date":"2019-01-28T10:23:00","date_gmt":"2019-01-28T15:23:00","guid":{"rendered":"http:\/\/www.kraftgrp.com\/uncategorized\/2018-was-a-record-year-for-hipaa-penalties\/"},"modified":"2019-09-28T17:05:29","modified_gmt":"2019-09-28T22:05:29","slug":"2018-was-a-record-year-for-hipaa-penalties","status":"publish","type":"post","link":"https:\/\/www.kraftgrp.com\/2018-was-a-record-year-for-hipaa-penalties\/","title":{"rendered":"2018 Was a Record Year for HIPAA Penalties"},"content":{"rendered":"<p><img decoding=\"async\" src=\"https:\/\/www.kraftgrp.com\/wp-content\/uploads\/2019\/01\/GettyImages-1085283530.jpg\" alt=\"HIPAA Violation\" width=\"100%\" \/><\/p>\n<p>2018 turned out to be a year of record fines for HIPAA violations. Over $25 million in fines, with the mean fine being just over $2.5 million. Could your medical entity bear that financial burden? Would it suffer irreparable harm from the adverse publicity? And just what violations did these healthcare entities do to get scrutinized, investigated and penalized?<\/p>\n<p>Since 2016, settlements and fines from the Department of Health and Human Services\u2019 Office for Civil Rights (OCR)\u00a0<a href=\"https:\/\/www.hipaajournal.com\/summary-2018-hipaa-fines-and-settlements\/\">have risen substantially<\/a>. Healthcare entities should expect that this trend may continue and remain committed to avoiding HIPAA security breaches, negligence and failure to follow long-standing policies.<\/p>\n<p><strong>2018 Review of OCR Settlements<\/strong><\/p>\n<p>Whether your business is a smaller, private entity or a large, public entity, OCR investigations are expensive and potentially damaging to your business\u2019s reputation. Prevention is our best defense \u2013 don\u2019t let these errors happen.<\/p>\n<ul>\n<li><strong>Fresenius Medical Care North America.\u00a0<\/strong>$3,500,000 \u2013 Settlement. Risk analysis failure. Impermissible disclosure of ePHI. No policies covering electronic devices. Insufficient encryption; inadequate security policies; inadequate physical safeguards.<\/li>\n<li><strong>Filefax, Inc.\u00a0<\/strong>$100,000 \u2013 Settlement. Unauthorized disclosure of PHI.<\/li>\n<li><strong>University of Texas MD Anderson Cancer Center<\/strong><strong>.\u00a0<\/strong>$4,348,000 \u2013\u00a0<a href=\"https:\/\/www.hhs.gov\/hipaa\/for-professionals\/compliance-enforcement\/agreements\/index.html\">Civil monetary penalty<\/a>. Impermissible disclosure of ePHI. No Encryption.<\/li>\n<li><strong>Massachusetts General Hospital.<\/strong>\u00a0$515,000 \u2013 Settlement.\u00a0<a href=\"https:\/\/www.hallrender.com\/2018\/09\/24\/hospitals-fined-for-allowing-documentary-film-crews-to-film-patients-without-consent\/\">Filming patients without consent<\/a>.<\/li>\n<li><strong>Brigham and Women\u2019s Hospital.\u00a0<\/strong>$384,000 \u2013 Settlement. Filming patients without consent.<\/li>\n<li><strong>Boston Medical Center.\u00a0<\/strong>$100,000 \u2013 Settlement. Filming patients without consent.<\/li>\n<li><strong>Anthem Inc.\u00a0<\/strong>$16,000,000 \u2013 Settlement. Risk analysis failures. Inadequate review of system activity. Failure to respond to an identified breach. Lacking technical controls to thwart unlawful ePHI access.<\/li>\n<li><strong>Allergy Associates of Hartford.\u00a0<\/strong>$125,000 \u2013 Settlement.\u00a0<a href=\"https:\/\/www.hhs.gov\/hipaa\/for-professionals\/privacy\/special-topics\/de-identification\/index.html\">PHI<\/a>\u00a0disclosure to a journalist. No sanctions against an employee.<\/li>\n<li><strong>Advanced Care Hospitalists.\u00a0<\/strong>$500,000 \u2013 Settlement. Unauthorized PHI disclosure. No BAA (business associate agreement). Deficient security measures. No HIPAA fulfillment efforts before April 1, 2014.<\/li>\n<li><strong>Pagosa Springs Medical Center.\u00a0<\/strong>$111,400 \u2013 Settlement. Failure to end employee access. No Business Associate Agreement (BAA).<\/li>\n<\/ul>\n<p><strong>Don\u2019t forget about your State\u2019s Attorney General\u2019s Office<\/strong><\/p>\n<p>Medical entities also saw a rise in fines\/monetary penalties from state attorney generals. While the penalties are not always for HIPAA violations, they are still a distraction from your healthcare entity\u2019s mission statement, requiring employees\u2019 time and financial resources devoted to defending you against violation of state laws and HIPAA violations. Some states have become more aggressive in enforcement of HIPAA violations. The Northeastern states \u2013 New Jersey, New York, Massachusetts, Connecticut and the District of Columbia \u2013 have stepped up their enforcement efforts along with Washington State (who has yet to announce a settlement amount with Aetna). Defendants in these actions include insurance companies, hospitals, medical groups and even a transcription company.<\/p>\n<p>State settlement amounts have ranged from a low of $75,000 to a high of over $1,000,000.<\/p>\n<p><strong>Common sense and training along with competent managed IT services will help ensure that your business is at decreased risk of HIPAA fines and penalties.<\/strong><\/p>\n<p>The deeper your understanding of the scope of potential HIPAA violations, the less likely you\u2019ll be guilty of violating patient privacy. The Department of Health and Human Services publishes OCR news and bulletins on\u00a0<a href=\"https:\/\/www.hhs.gov\/ocr\/newsroom\/index.html\">its website<\/a>. Details of every action are published on a timely basis, including a PDF of the resolution agreement.<\/p>\n<p>Make it a point to review the OCR website on a monthly basis. This site will provide insight into the actionable behaviors that employees or departments may commit.<\/p>\n<p>Many of these offenses seem obvious in retrospect. Ensure that every employee understands these simple violations.<\/p>\n<ul>\n<li><strong>Business associate agreement.\u00a0<\/strong>Ensure that BAA agreements with outside vendors are properly executed and that the vendor owner (or their authorized agent) knows of this agreement.<\/li>\n<li><strong>Terminated employees.\u00a0<\/strong>Have a written policy regarding terminated employees so that their access to confidential patient information is terminated immediately. Your HR department and IT services vendor should work in unison to change passwords\/deny access as soon as the employee leaves or is terminated.<\/li>\n<li><strong>Filming patients without consent.\u00a0<\/strong>Don\u2019t be lured into a major HIPAA violation by television and documentary filmmakers. While upper management and the CEO may feel that being featured in a TV series will bring prestige and goodwill to the facility, patients don\u2019t feel that way and are protected by HIPAA.<\/li>\n<li><strong>Healthcare entities must be proactive in protecting data.\u00a0<\/strong>Seemingly simple violations like insufficient encryption, no response to a breach or not providing HIPAA training to employees are not a viable excuse to OCR or state attorney generals.<\/li>\n<\/ul>\n<p>Cybersecurity may be seen as a burdensome expense \u2013 protection of data is expensive, but it protects your business\u2019s ability to recover in the event of a natural disaster or ransomware attack. Many of these settlements and penalties resulted from simple mistakes which would not have been costly to avoid. Be proactive and develop a plan to avoid expensive, avoidable HIPAA violations.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>2018 turned out to be a year of record fines for HIPAA violations. Over $25 million in fines, with the mean fine being just over $2.5 million. Could your medical entity bear [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":411,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_et_pb_use_builder":"","_et_pb_old_content":"","_et_gb_content_width":"","_mbp_gutenberg_autopost":false,"footnotes":""},"categories":[17],"tags":[134],"class_list":["post-410","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-blog","tag-healthcarebytes"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v19.6 (Yoast SEO v24.3) - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>2018 Was a Record Year for HIPAA Penalties &#8211; KTG<\/title>\n<meta name=\"description\" content=\"Click Here to learn more \ud83c\udf1f 2018 Was a Record Year for HIPAA Penalties - Since 1992 - Nashville&#039;s Top IT Services Company\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.kraftgrp.com\/2018-was-a-record-year-for-hipaa-penalties\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"2018 Was a Record Year for HIPAA Penalties\" \/>\n<meta property=\"og:description\" content=\"Click Here to learn more \ud83c\udf1f 2018 Was a Record Year for HIPAA Penalties - Since 1992 - Nashville&#039;s Top IT Services Company\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.kraftgrp.com\/2018-was-a-record-year-for-hipaa-penalties\/\" \/>\n<meta property=\"og:site_name\" content=\"KTG\" \/>\n<meta property=\"article:author\" content=\"https:\/\/www.facebook.com\/krafttechgroup\/\" \/>\n<meta property=\"article:published_time\" content=\"2019-01-28T15:23:00+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2019-09-28T22:05:29+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/www.kraftgrp.com\/wp-content\/uploads\/2019\/01\/GettyImages-1085283530.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"724\" \/>\n\t<meta property=\"og:image:height\" content=\"483\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"Brian Gray\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:creator\" content=\"@https:\/\/twitter.com\/krafttechgroup\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Brian Gray\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"4 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\/\/www.kraftgrp.com\/2018-was-a-record-year-for-hipaa-penalties\/#article\",\"isPartOf\":{\"@id\":\"https:\/\/www.kraftgrp.com\/2018-was-a-record-year-for-hipaa-penalties\/\"},\"author\":{\"name\":\"Brian Gray\",\"@id\":\"https:\/\/www.kraftgrp.com\/#\/schema\/person\/d64e95076b360a71439fd86beec62c36\"},\"headline\":\"2018 Was a Record Year for HIPAA Penalties\",\"datePublished\":\"2019-01-28T15:23:00+00:00\",\"dateModified\":\"2019-09-28T22:05:29+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\/\/www.kraftgrp.com\/2018-was-a-record-year-for-hipaa-penalties\/\"},\"wordCount\":782,\"publisher\":{\"@id\":\"https:\/\/www.kraftgrp.com\/#organization\"},\"image\":{\"@id\":\"https:\/\/www.kraftgrp.com\/2018-was-a-record-year-for-hipaa-penalties\/#primaryimage\"},\"thumbnailUrl\":\"https:\/\/www.kraftgrp.com\/wp-content\/uploads\/2019\/01\/GettyImages-1085283530.jpg\",\"keywords\":[\"healthcarebytes\"],\"articleSection\":[\"Blog\"],\"inLanguage\":\"en-US\"},{\"@type\":\"WebPage\",\"@id\":\"https:\/\/www.kraftgrp.com\/2018-was-a-record-year-for-hipaa-penalties\/\",\"url\":\"https:\/\/www.kraftgrp.com\/2018-was-a-record-year-for-hipaa-penalties\/\",\"name\":\"2018 Was a Record Year for HIPAA Penalties &#8211; 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