In a case that dramatically illustrates the high cost of not protecting individuals’ personal health information, a Massachusetts medical care provider will pay the federal government $1.5 million to settle potential violations of the HIPAA Privacy and Security Rules.
Massachusetts Eye and Ear Associates, Inc. (MEEI) and the Department of Health and Human Services agreed to the settlement following an HHS investigation into how a MEEI laptop with unencrypted, protected health information, including prescriptions and clinical data, was stolen. MEEI had reported the loss of the computer to HHS as required under HIPAA’s breach of security notification provision.