Owners and operators of nursing homes have come to embrace the technology that enable them to store health care records online, as well as x-rays and other important and confidential data. “Ransomware” and other attacks unfortunately impact health systems in a variety of ways, and this can result in the inability of hospitals and healthcare officials to provide health care to the patients.
Without access to medical records, hospitals lose access to health insurance records making it difficult to confirm coverage, and if medical history is unobtainable, doctors cannot prescribe new scripts or render services because of the inability to check for contraindications for adverse interactions or allergies. This shows a real need for cyber liability insurance to protect the interests of the facility and their residents as well. It has become a necessary component of the nursing home insurance cost of clients in the healthcare sector.
Cyber breaches must be dealt with
Every nursing home uses computers and store lots of sensitive information on their servers. Therefore, most nursing facilities can benefit from some type of cyber liability policy, as theft of confidential materials is a growing concern. Cyber breaches and cyber crimes have become a daily occurrence in businesses, governments, and to individuals and news outlets report just how serious a problem this has become. Many companies carry sensitive information, including medical records, and most will be targeted for a data breach at one time or another.
It’s important to recognize where vulnerabilities lie and help to protect clients’ against liability concerns, which are often costly in the event of a cyber crime, as those entities are likely to be sued for not properly securing information of clients, employees and business partners.
The list of potential losses from these types of exposures includes destruction of critical data, defamation, and fraud, with many nursing homes becoming victims of denial of service attacks and the inability to access websites or systems due to the introduction of malicious code or viruses.
Hackers may wind up using or selling the stolen information to falsely obtain medical procedures or individuals could potentially be blackmailed due to sensitive information contained in health records, including Social Security numbers, bank statements, financial history, driver’s licenses and information on spouses and guarantors. Cyber insurance is now a vital part of nursing home insurance cost and should not be overlooked.