Insurance coverage Dealer Notifying 1.5 Million of Well being Data Hack

Incident & Breach Response
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Industry Specific

California Agency Mentioned August Assault Affected Shoppers' Knowledge

Insurance coverage dealer Keenan & Associates is notifying greater than 1.5 million people about an August 2023 hacking incident that compromised private and well being data. (Picture: Keenan & Associates)

A California insurance coverage dealer that handles worker advantages, staff' compensation and property legal responsibility is notifying greater than 1.5 million people a couple of ransomware and knowledge exfiltration assault final August that compromised medical health insurance data, passport numbers and Social Safety numbers.

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Torrance, California-based Keenan & Associates reported the hacking incident on Monday as affecting almost 1.51 million people.

Keenan & Associates in an announcement to Info Safety Media Group said the information affected within the incident pertained "to sure shoppers and a restricted variety of workers."

Info doubtlessly compromised within the incident consists of people' names; birthdates; numerical identifiers corresponding to Social Safety, passport quantity and driver's license; medical health insurance data; and common well being data.

The dealer mentioned that on Aug. 27 it had found sure disruptions occurring on some Keenan & Associates community servers. "Inside hours of figuring out the cybersecurity incident, we had contained it," the corporate instructed ISMG.

Keenan & Associates additionally notified the FBI.

An investigation decided that an unauthorized celebration had gained entry to sure inside techniques at varied instances for a couple of week, between Aug. 21 and Aug. 27.

Keenan & Associates declined ISMG's request for added particulars concerning the incident, together with the kind of prospects affected by the hack and whether or not the agency would report the breach to federal regulators as a HIPAA breach.

Relying upon the kind of entity whose knowledge was affected, the Keenan incident could or might not be thought of a reportable HIPAA breach involving the compromise of protected well being data. Info pertaining to an worker well being plan would seemingly fall underneath the HIPAA banner, however staff' compensation or other forms of casualty insurance coverage won't, mentioned an lawyer who requested not be named.

Third-Occasion Dangers

The assault on Keenan & Associates seems to be a part of a pattern that has plagued many different corporations that present vital companies to healthcare sector and associated entities, some consultants mentioned.

"Insurance coverage firms, income cycle administration corporations, third celebration directors, billing firms, and different enterprise associates - they're being extremely focused," mentioned Steve Cagle, CEO of privateness and safety consultancy Clearwater.

Most of these third-party companies corporations are falling sufferer to the identical kinds of assaults hitting healthcare suppliers and associated organizations immediately, he mentioned. "It is very related methods to what we're seeing throughout all industries."

The methods embrace assaults involving ransomware, knowledge exfiltration, social engineering and exploitation of IT vulnerabilities, Cagle mentioned. "That continues to be a supply of many assaults. There's been a really massive variety of vulnerabilities which have been uncovered," he mentioned.

Making issues even riskier is that many third events, particularly smaller corporations, "won't be on the similar stage of maturity, and due to this fact they may have extra vulnerabilities," he mentioned. "They may have extra exposures, plus they've a whole lot of knowledge."

"All these corporations actually needs to be bolstering their safety packages," Cagle mentioned.

To assist forestall the same kind of incident from occurring sooner or later, Keenan & Associates mentioned it has carried out further safety protocols designed to reinforce the safety of its community, inside techniques and functions. "Keenan will even proceed to judge further steps which may be taken to additional enhance our defenses."

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