Healthcare

Who:

• Victim: Lehigh Valley Health Network (LVHN), a Pennsylvania healthcare provider.

• Perpetrator: Alphv/BlackCat ransomware gang.

What:

• Incident: A ransomware attack on LVHN in early 2023, during which attackers accessed the network, stole data, and deployed ransomware. The data breach affected over 130,000 patients and employees, exposing personal and medical information, including sensitive clinical images.

• Legal Action: A class-action lawsuit was filed against LVHN, alleging failure to protect patient data, leading to a $65 million settlement in September 2024.

Impact:

• Data Compromised: Personal details, medical information, Social Security numbers, and nude photos of patients were among the data stolen.

• Settlement: A record-breaking $65 million settlement was reached. Affected individuals will receive payments ranging from $50 to $70,000, with higher compensation for those whose nude photos were leaked. A fairness hearing is scheduled for November 2024.

  
  

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Who:

• Rite Aid, the third-largest drugstore chain in the United States.

• RansomHub ransomware gang.

What:

• Rite Aid confirmed a data breach following a cyberattack in June, claimed by the RansomHub ransomware operation.

• The breach compromised customer information but did not affect social security numbers, financial information, or patient information.

• Rite Aid is currently investigating the attack and sending data breach notifications to affected customers.

Impact:

• Operational Disruption: Rite Aid experienced a limited cybersecurity incident but has since restored all compromised systems with the help of external experts.

• Customer Data Compromised: RansomHub claims to have obtained over 10 GB of customer information, including names, addresses, driver's license numbers, dates of birth, and Rite Aid rewards numbers, affecting around 45 million lines of personal information.

• Ransom Demand: RansomHub added Rite Aid to its leak site, sharing a screenshot of the stolen data and threatening to leak everything in two weeks after negotiations stopped.

• Security Measures: Rite Aid is working with third-party cybersecurity experts to address the attack's impact and ensure the protection of personal information.

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Who:

• UnitedHealth Group, a major U.S. healthcare company.

What:

• UnitedHealth Group disclosed that the cyberattack on its Change Healthcare unit will cost between $2.3 billion and $2.45 billion in 2024.

• The cyberattack occurred in February, affecting Change Healthcare's billing and payment system, which caused disruptions for physicians and medical care providers nationwide.

• The attack led to a significant increase in projected costs, more than doubling the earlier estimate of $1.35 billion to $1.6 billion.

Impact:

• Financial Loss: The cyberattack has had a substantial financial impact, contributing to a decline in net income to $4.2 billion in Q2 2024, down from $5.4 billion in the same period last year.

• Revenue Growth: Despite the attack, UnitedHealth Group’s revenues increased to $98.9 billion, up nearly $6 billion year-over-year.

• Operational Disruptions: The attack paralyzed parts of Change Healthcare’s electronic system, causing delays in insurance approvals and financial strain on healthcare providers.

• Support for Providers: UnitedHealth provided over $9 billion in advance funding and interest-free loans to support affected healthcare providers.

• Recovery Efforts: Most of the affected services have been restored, though the company continues to address the fallout from the attack.

• Broader Industry Impact: The attack affected thousands of doctor practices, with 80% reporting lost revenue from unpaid claims, threatening the viability of many physician practices.

Overall, the cyberattack on Change Healthcare represents one of the most significant cyber incidents in the U.S. healthcare industry, with far-reaching financial and operational impacts.

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Who: WebTPA, a third-party administrator providing healthcare management and administrative services.

What: WebTPA disclosed a data breach impacting approximately 2.5 million individuals. The breach involved unauthorized access to personal information, including names, contact details, dates of birth and death, Social Security numbers, and insurance information.

Impact: The breach exposed sensitive personal information of nearly 2.5 million people. Although no financial or treatment information was compromised, the affected individuals are at risk of identity theft or fraud. WebTPA is offering two years of complimentary identity monitoring services through Kroll and has implemented enhanced security measures. The company urges impacted individuals to remain vigilant and monitor their credit reports and Explanations of Benefits (EOBs) for any suspicious activity.

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Who: Kaiser Permanente, a major healthcare service provider in the U.S., disclosed a data security incident affecting approximately 13.4 million current and former members and patients.

What: The incident involved the leakage of personal information to third-party trackers installed on Kaiser Permanente's websites and mobile applications. Information such as IP addresses, user interactions with the website and apps, and search terms used in the health encyclopedia were potentially exposed.

Impact: While sensitive data like usernames, passwords, and financial information were not compromised, the leaked information could still be misused by marketers, advertisers, and data brokers. Kaiser Permanente has taken steps to remove the trackers and implement additional security measures. Although there have been no reported cases of misuse, the organization plans to notify individuals affected by the incident as a precautionary measure. This breach follows a previous incident in June 2022, where unauthorized access to an employee's email account exposed the health information of 69,000 people.

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