PHI Breaches Cost More Than Fines

In a precedent-setting case, a woman wasawarded $300,000 for HIPAA violations from an Alabama doctor who illegally shared her PHI with a third party. The defendants in the case were an Alabama hospital, a former hospital physician and an attorney. Read more about this case here.

 

This civil case in Alabama proved that breaches of patient or personal information can bring federal investigations, fines and penalties to institutions that fail to properly train staff to abide by HIPPA rules.

 

More and more individuals are taking these issues to court.  The costs of federal and state fines, as well as civil litigation can add up quickly. However, the costs from reputational damage can far exceed the out-of-pocket costs. Although the hospital, physician and attorney are still in business and practicing their trades, undoubtedly, they have suffered irreparable damage to their reputations and brands. The costs of not keeping their patients’ information private and secure is much greater than the fines that were awarded.

 

If your organization wants help in protecting its’ brand and reputation, contact CentraVance. We provide the most comprehensive programs and services to help you protect your brand and reputation.

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