Health Care Data Breaches: Why Cyber Criminals Target Hospitals
Health care organizations store enormous amounts of sensitive data, including Social Security numbers, medical records, and financial details. With cybercriminals targeting hospitals and clinics, the health sector’s cybersecurity gaps have become a growing concern for providers and the public.
Health care data breaches can shut down critical systems, delay urgent care, and expose patients to risks such as identity theft. Class Action U helps patients understand their rights and explore options for legal action after a data breach.
Why Do Hackers Target Hospitals?
Hospitals and health systems are particularly vulnerable to cyberattacks for several reasons:
- Valuable Data: Providers store some of the most sensitive personal information, such as names, birthdates, Social Security numbers, insurance details, medical diagnoses, prescriptions, and payment information.
- High Ransom Potential: Cybercriminals often use ransomware to lock organizations out of critical files and demand payment for their release.
- Outdated Systems: Many facilities still rely on legacy systems that are not designed with modern cybersecurity threats in mind.
- Large Attack Surface: Hospitals work with many software platforms, vendors, and devices, many of which present risks.
- Regulatory Pressure: Institutions must comply with strict privacy laws. Breach-related violations can result in heavy fines and reputational damage. Hackers use this to gain leverage.
- Lack of Cybersecurity Training: Health care professionals are typically trained to save lives and support patients rather than to identify phishing emails or detect suspicious activity.
- Urgency of Care: In emergencies, hospitals must respond quickly, leaving slow, secure login procedures or careful software updates by the wayside.
- Delayed Detection and Reporting: Health organizations often lack the rapid fraud detection systems used in industries such as banking. Breaches may go unnoticed for weeks or even months.
Impact of Cyberattacks on Health Care
Cyberattacks on hospitals raise concerns across every part of the health care system. The most common concerns include the potential for disrupted medical services and patient safety risks, but health care providers also face financial losses and reputational damage. In many cases, the consequences of a cyberattack don’t end when the system comes back online.
Health Care Data Breach Statistics
Health care data breaches affect millions of patients each year. Recent statistics show how cyberattacks on health care facilities are a growing problem:
- 725 health provider data breaches were reported in 2023, which is up from 720 breaches in 2022.
- 133 million records were compromised in 2023. This number soared to 275 million in 2024.
- The biggest data breach from 2024, the Change Health care breach, affected nearly 190 million individuals.
The data shows that health organization breaches are a growing trend affecting patients’ privacy and safety.
Common Methods Used in Health Care Data Breaches
Understanding how these data breaches occur can help patients and providers stay vigilant and take steps to protect sensitive data. Cybercriminals use a variety of techniques to infiltrate health services systems:
- Phishing attacks are fraudulent emails or messages designed to health care workers into revealing passwords or clicking on malicious links. A single successful phishing email can give attackers access to sensitive systems.
- Ransomware attacks happen when hackers lock providers out of their systems until a ransom is paid. During the lockdown, critical patient care may be delayed or halted altogether.
- Insider threats occur when current or former employees misuse access privileges, either accidentally or intentionally, to expose patient data.
- Third-party vendor vulnerabilities are used by hackers as a backdoor into hospital systems. Providers frequently collaborate with external vendors, including billing companies and cloud storage providers.
- Cloud misconfigurations or improper security settings can leave entire databases vulnerable to public exposure or attackers scanning for vulnerabilities.
What Can Cyber Criminals Do With Stolen Patient Information?
When criminals access your medical records, they can exploit that information in several ways, including identity theft, insurance fraud, medical identity theft, and even black market data sales.
Criminals profit from stolen data at the patient’s expense. For victims, the fallout may not be immediate, but dealing with fraudulent charges, compromised identities, and inaccurate medical records can be deeply disruptive.
What Laws Protect Victims of Health Care Data Breaches?
Health care providers must protect sensitive information and notify patients when a breach occurs. These laws include:
- HIPAA Privacy Rule: This law establishes national standards to protect patients’ medical records and other personal health information. It also limits how providers can use and share data and requires them to implement safeguards.
- Breach Notification Rule: Under this rule, health organizations must notify affected individuals, the government, and, in some cases, the media when certain data breaches occur.
These laws aim to protect patient privacy and ensure transparency in the event of a breach. If your information was exposed, these legal protections could play a key role in your claim for compensation or in a class action lawsuit.
What Steps Should You Take if Your Health Care Data Is Exposed?
Act quickly if you’ve received a notification that your medical data has been compromised in a breach. Taking the right steps can help protect your financial and medical identity and your rights to legal action. Here are a few key steps:
- Monitor accounts: Keep a close eye on your credit reports, bank activity, and insurance claims. Look for suspicious charges or unfamiliar providers that could indicate fraud.
- Notify your provider: Contact your health care provider to report the breach and inquire about their steps to protect your Also, request written confirmation and guidance.
- File complaints: If your data was mishandled, report the breach to the U.S. Department of Health and Human Services and consider initiating a legal claim.
Taking these actions promptly can help you protect your personal and financial information, minimize long-term damage, and strengthen your case if legal action becomes necessary.
Seeking Justice: Next Steps for Data Breach Victims
If your personal information was compromised in a health care information breach, you may have the right to seek compensation. The time for action is now. The sooner you contact a skilled attorney, the sooner they can collect evidence, assess your damages, and protect your rights.
Legal guidance also ensures you’re not navigating a complex system alone. Experienced data breach attorneys are familiar with the relevant laws and know how to construct a compelling case against negligent providers.
Class Action U works with a network of legal professionals who advocate for victims of health care cyberattacks. We can help you understand your options, guide you through each step of the claims process, and fight for the compensation you deserve.
Did you receive a notice letter in the last 30 days informing you that you were affected by a data breach? Sign up for a data breach investigation today.
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