A healthcare technology company has agreed to a settlement worth up to $10 million after hackers exposed the sensitive medical records of 13.3 million patients.
New York Attorney General Letitia James and officials from Connecticut, Michigan and New Jersey say Perry Johnson & Associates (PJ&A) and its affiliated companies have agreed to strengthen their data security and retention policies and pay the coalition at least $300,000 in penalties.
They could face an additional $9.7 million in payments to the states if they fail to meet the settlement terms. New York will receive at least $100,000.
Hackers got into the systems in March of 2023 using the credentials of a PJ&A Coding employee, and the company did not require multi-factor authentication for remote access.
Over the following months, the intruders harvested passwords and accessed unencrypted files containing names, dates of birth, Social Security numbers, diagnoses, lab results, medications and insurance details.
The company’s software recorded the hackers’ activity but was not set up to alert security staff.
PJ&A only learned of the breach in May of 2023, when the hackers contacted employees and demanded payment to delete the files.
Under the agreement, the companies must use multi-factor authentication, encryption, annual HIPAA risk assessments and strict data retention policies.
Says James,
“Your health is your business, and companies entrusted with personal health information have a duty to rigorously protect it. PJ&A failed its basic responsibility to guard patients’ data, leading to the exposure of millions of New Yorkers’ private information.
As a result of our investigation, PJ&A will make critical changes to protect patients’ data to ensure a data breach like this one does not happen again.”
The data breach affected more than 13.3 million people, including approximately 4.2 million New York residents.
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The post Healthcare Tech Firm Agrees To Pay Up to $10,000,000 After Breach Exposes Medical Records of 13,300,000 Patients appeared first on The Daily Hodl.
A healthcare technology company has agreed to a settlement worth up to $10 million after hackers exposed the sensitive medical records of 13.3 million patients. New York Attorney General Letitia James and officials from Connecticut, Michigan and New Jersey say Perry Johnson & Associates (PJ&A) and its affiliated companies have agreed to strengthen their data security
The post Healthcare Tech Firm Agrees To Pay Up to $10,000,000 After Breach Exposes Medical Records of 13,300,000 Patients appeared first on The Daily Hodl. Scams, Hacks & Breaches, Data breach, healthcare, new york, News
This articles is written by : Nermeen Nabil Khear Abdelmalak
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