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Reasonable Expectation Legal Blog Focusing On Privacy and Data Security Issues

19Aug/13Off

HEALTH PLAN PAYS FOR FAILING TO ERASE DATA ON LEASED EQUIPMENT: TWO TAKEAWAYS FOR COMPANIES HANDLING ELECTRONIC PHI

DSC00670Health Care Alert: Health plan pays for failing to erase data: 2 takeaways for companies handling electronic PHI

By Marcia Augsburger, M. Scott Koller and Tiffani V. Williams

The Office for Civil Rights (OCR) has announced a settlement between the US Department of Health and Human Services and Affinity Health Plan, Inc. to address potential violations of the Health Insurance Portability and Accountability Act of 1996.

Affinity, a not-for-profit managed care plan serving the New York metropolitan area, paid more than US$1.2 million as part of the settlement, even though it was not clear that any protected health information (PHI) was actually misused or retained as a result of the breach.

In addition to the settlement payment, Affinity will be required to comply with a corrective action plan instituted by OCR.

What can companies that handle PHI learn from this outcome? Find out more.

Filed under: HIPAA, News Comments Off
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