Recently, Choice Health Insurance reported a data breach after the company saw an unauthorized party offering to sell data obtained from Choice Health systems on the website of known hackers. According to Choice Health The breach resulted in a person’s name, Social Security number, Medicare information and health insurance information being compromised.. On June 8, 2022, Choice Health filed an official notice of the violation and sent letters of violation of the data to all affected parties.
If you have been notified of a data breach, it is essential to understand what is at stake and what you can do about it. To find out how to protect yourself from becoming a victim of fraud or identity theft and what your legal options are as a result of Choice Health Insurance data breach, see our latest article on the subject. here.
More details on the cause and effect of Choice Health Data Violation
According to an official announcement from the company, on May 14, 2022, Choice Health learned that an unauthorized party was offering to sell data obtained from the company’s system. In this regard, Choice Health Insurance launched an investigation into the incident, and on May 18, 2022, the company learned that “due to a technical security configuration issue caused by a third party service provider, only one Choice Health database was available. Internet Health. ”Based on the company’s research, Choice Health files were available on or about May 7, 2022.
When it discovered that sensitive consumer data was available to an unauthorized party, Choice Health Insurance reviewed the affected files to determine what information was at risk and who it was. Although the violated information varies from person to person, your full name may include a Social Security number; Medicare Beneficiary Identification Number; birth date; address and contact information; and health insurance information.
On June 8, 2022, Choice Health Insurance sent data breach letters to all individuals who put information at risk as a result of the latest data security incident.
More information on Choice Health Insurance
Choice Health Insurance is an insurance company in Myrtle Beach, South Carolina. Choice Health is an independent broker, which means that the company offers insurance products through a variety of providers. Some of the planets offered by Choice Health are provided by Humana, WellCare Healthplans, Anthem BlueCross BlueShield, Mutual of Omaha, United Healthcare, Cigna and Aetna. Choice Health also offers plans through healthcare.gov. Choice Health Insurance currently employs more than 130 people and generates about $ 33 million in annual sales.
Who is responsible for a data breach?
Choice Health stated in a letter to patients affected by the breach that it arose from a “technical security configuration issue” with a third party service provider. Based on this statement, it appears that unauthorized access was not to the Health System computer system, but to the choice of another company’s system that relied on Customer Health information. After a data breach, mainly involving several companies, victims are asked who may be responsible for leaking their information.
Under the data breach and consumer protection laws, any organization that has consumer data has a duty to protect the information in its possession. Of course, this includes organizations that receive consumer information directly from consumers. However, it also applies to third-party companies, vendors, service providers and contractors that collect data through the company that was originally responsible for storing consumer data.
In the case of the Choice Health data breach, there is no indication that Choice Health was irresponsible in maintaining its data security systems. However, depending on the evolution of the research, Choice Health may be negligently releasing consumer data to a third party service provider. For example, this may be the case if Choice Health is aware that the service provider has a history of mishandling consumer data.
Of course, an unnamed service provider could also be independently responsible for the breach. Organizations and their data security systems are the first line of defense against cyberattacks, and businesses that choose not to maintain proper data security systems put consumer information at risk.
As a result, data breach laws provide a mechanism for victims of a data breach to seek compensation against the company responsible for the breach. However, determining which company is responsible requires in-depth knowledge of complex data breach laws. Those seeking answers to the Choice Health Insurance data breach should consult with an experienced data breach attorney to learn more about their rights.