Health Insurance Data Breach Makes People Sick
Saturday, June 7th, 2008Everyone is concerned with their personal health information. News segments cover issue on the field on a nightly basis. There is a reason so many people are concerned. Not only are they worried about insurance companies denying them health coverage because of some piece of medical information, but also because of the damage done to individuals who have their personal histories stolen. That is the exact concern for 128,000 people who were insured by WellPoint, Inc. The Tampa based insurance provider reported a data breach earlier in this week.
The data breach was easily preventable, according to reports. Rather than an outside hacker illegally entering the system, an employee accidentally posted the material on the company’s website. The personal information that appeared on the website included social security numbers, prescription numbers, and pharmacy medical records. No information has surfaced about security measures undertaken by the company to prevent similar problems from taking place in the future. There is also no word about when the breach occurred, although it was reported in the middle of April.
Within the 128,000 affected people, at least 71,000 live in the state of Georgia. This group of 71,000 mostly includes low income individuals who were receiving insurance as part of a plan to supplement the health coverage of poor and under privileged people. No details are yet available about any individual complaints or legal actions under way by the affected individuals.
WellPoint, Inc. officials say that there have been no reported incidences of identity theft. In an effort to help those negatively affected by the data breach, the company is providing free credit report checking for all 128,000 victims. Experts in the field of network security view this as being an important step toward the company reclaiming its credibility.
Unfortunately, with the many data breaches happening on a daily basis, few companies are taking the same type of stand as WellPoint. In instances where the affected business does not step forward and approach the situation in a proactive sense, consumers are advised to take matters in to their own hands. Such steps involve monitoring credit cards, loan applications, and all information reported to credit bureaus. One method to streamline this process is to invest in a subscription to an ID theft service. Companies, like Lifelock, monitor all three credit bureaus and alert subscribers to any attempt to take out loans, open new credit cards, or proceed with any other fraudulent activities.
For the time being, officials continue to monitor the situation. Individuals who have their insurance through WellPoint and have not yet been contacted, should check for updates on the company’s website. Anyone who notices fraudulent activity on their accounts, whether through personal screenings or alerts from Lifelock, should contact WellPoint immediately to discuss the next step. Customer service representatives are available to answer all the questions of people insured by WellPoint.

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