Two separate ransomware incidents have recently affected healthcare providers in Maryland and California and exposed sensitive information belonging to more than 1.1 million patients as a result, according to disclosures filed with federal regulators that recently broke the story.
During one of the attacks, cybercriminals reportedly released approximately 480 gigabytes of data that had been unauthorised to be released by a method unknown to them.
A filing by Frederick Health was filed with the US Department of Health and Human Services on March 28 the confirming that 934,326 individuals were affected by the cybersecurity breach.
As reported by the Maryland-based healthcare organisation, the incident occurred on January 27, and it was a result of a ransomware attack that disrupted its computer infrastructure and contributed to the breach of sensitive information.
It is still unclear how much information was compromised, but affected entities are still engaged in assessment and coordination of response efforts in compliance with federal laws regarding data protection, to find out the extent of the damage done.
In the investigation that followed, it became evident that the attackers had gained access to a file-sharing server, which gave them access to various sensitive documents. This data varied from individual to individual, but included a mix of information that can be identified as identifying and data that can be protected by law.
An attack on the network resulted in hackers obtaining patient names, addresses, birthdays, Social Security numbers, and driver's license information. Additionally, health-related information such as medical records, insurance policy information, and clinical care details was also snipped during the breach.
There has been no public claim of responsibility for this breach at this point, and the stolen data has not yet been made available on dark web forums or marketplaces, making it possible to speculate that Frederick Health complied with a ransom demand to prevent the data from becoming public.
Several steps have been taken by Frederick Health, which employs approximately 4,000 people and operates over 25 facilities, to minimise the negative impact of this security breach on its employees and facilities.
In response to the incident, the organisation has offered complimentary credit monitoring and identity theft protection services through IDX to individuals who have been affected as part of its response.
There were no official comments available, as no official commentary has yet been provided, because trying to contact a spokesperson for Frederick Health was unsuccessful at the time of reporting.
The incident follows a growing trend in recent years of major data breaches in the healthcare sector.
Recently, Blue Shield of California released a surprise announcement that they had been inadvertently exposed to 4.7 million members' protected health information by Google's analytics and advertising tools in the course of a breach announced earlier in the week.
According to a recent report by Yale New Haven Health System (YNHHS), cybercriminals have gained access to the personal data of approximately 5.5 million patients as a result of an unrelated cyberattack. As a result of these events, the healthcare industry is facing increasingly escalating cybersecurity threats and their resulting consequences.
Frederick Health was the victim of a ransomware attack in which no threat actor has officially claimed responsibility for the cyberattack, and it is not clear whether a ransom was ultimately paid in response to the cyberattack.
As of late March, Frederick Health began sending individual notification letters to those affected, as well as offering complimentary credit monitoring and identity theft protection services to those affected by the disease.
Upon learning of the breach, the organisation stated that it had since strengthened its cybersecurity infrastructure to protect data and increase monitoring for potential unauthorised access in response to the breach.
Frederick Health Medical Group has been slammed in the wake of the breach after at least five class action lawsuits were filed. According to the allegations in the complaint, the organisation failed to implement adequate cybersecurity measures by industry standards, resulting in a significant risk of exposed patient data.
Aside from this, plaintiffs have argued that the breach notification letters failed to provide adequate transparency, omitting details such as the type of data involved and the specific steps taken to prevent future incidents from being repeated. It was filed by Frederick Health patients Ernest Farkas, Joseph Kingsman, Jaquelyn Chaillet, James Shoemaker, Wesley Kibler, and Jennifer McCreary to bring this action against Frederick Health.
In the lawsuits, it is claimed that a breach in confidentiality has resulted in an ongoing and increased risk of identity theft and financial fraud, as well as additional personal financial burdens that were incurred as a result of efforts to mitigate the impact. A jury trial would supposedly be the best thing that could be done if the plaintiffs could prove negligence on the part of the healthcare provider, which may result in damages, attorney's fees, and punitive measures.
Taking into account the Frederick Health data breach, it's important to note that it signifies a stark reminder of the growing cybersecurity vulnerabilities facing the healthcare sector-an industry that becomes increasingly reliant on the interconnected digital networks to provide necessary healthcare.
Despite the fact that threat actors are continuously evolving their methods of attack, healthcare providers are required to take steps to protect sensitive patient information by adopting advanced security protocols, regularly auditing their systems, and implementing robust incident response strategies.
In addition to the technical disruptions, such breaches may also affect patient trust, operational integrity and legal liability beyond the technical disruptions they cause.
As a result of this incident, patients are reminded that it is important to exercise vigilance — monitoring credit reports, brokerage accounts, and insurance statements for unusual activity, as well as making use of identity protection services when available.
There is also a responsibility that rests with legislators and regulators to determine whether existing cybersecurity regulations are adequate for creating a safe and secure environment, given the high-risk environment in which healthcare organizations operate today.
There is no doubt that the Frederick Health case highlights the urgent need for an effective and proactive infrastructure for cybersecurity, one that is capable of not only responding to breaches, but also anticipating and neutralizing them prior to a breach having wide-ranging consequences.