» 

Blog

AnMed Health Achieves Considerable IT Cost Savings with GoAnywhere MFT

Linoma Software, a leader in secure enterprise file storage and transfer software, is pleased to announce a new case study featuring one of its customers has been published on www.goanywhere.com/resource-center/case-studies. Linoma Software and AnMed Health worked together to write the case study, which describes how a GoAnywhere enterprise managed file transfer solution helped AnMed Health achieve considerable savings on Data Center operations.

AnMed Health was looking to replace outdated systems and streamline processes in the Data Center in an initiative aimed at eliminating the need for third shift staffing. File transfers were identified as a top priority to address an unreliable FTP server, lack of redundancy in qualified staff, and missing support for SFTP and PGP.

GoAnywhere was selected by AnMed Health to update file transfer processes and it has resulted in a significant savings in staff hours. The Data Center alone saw a 500 hour reduction in programming, operations and network staff. This was in addition to virtually eliminating the need for a Network Engineer to troubleshoot transfers.

With this success, AnMed Health continued to explore opportunities to utilize GoAnywhere. This led to further time savings through insurance claim and payment processing, and cost savings from eliminating antiquated green bar reporting.

For more information download the complete case study here.


Healthcare Industry Still Lags in Protecting Data

As healthcare information security requirements and penalties get tougher, a great deal of discussion is focused around how well the healthcare industry is securing patient data.

healthcare data security survey results

The general consensus is that the industry still has a long way to go. One of the industry's publications, Healthcare InfoSecurity, released the results of the Healthcare Information Security Today survey sponsored by RSA which took an in-depth look at security and IT practices of senior executives in the healthcare industry.

<< click on the image to learn more  

 

The survey reviews many information security topics including

  • Impact of a data breach
  • Security threats
  • Compliance and steps to improve security
  • Risk assessment

Some of the responses surprised us on how far healthcare companies need to go for proper HIPAA compliance. Take a look at these statistics:

  • 55% of respondents were not confident in their organization's ability to comply with HIPAA and HITECH Act regulations concerning privacy and security (grading themselves adequate or less).
  • 66% responded that their organization's ability to counter internal information security threats was adequate or less.
  • Only 47% of survey participants utilize encryption for information accessible via a virtual private network or portal.
  • 32% of respondents have not conducted a detailed information technology security risk assessment/analysis within the past year with 47% updating their risk assessment only periodically.

The good news is that the survey shows that healthcare organizations are taking steps in the right direction to improve their security practices.

  • 37% of organizations' budgets for information security are scheduled to increase over the next year.
  • 40% of respondents plan to implement audit tool or a log management solution within the next year.

When asked what their organization's top three information security priorities are for the coming year, the top responses included

  • Improving regulatory compliance efforts
  • Improving security awareness/education
  • Preventing and detecting breaches

Healthcare IT teams will need updated security policies, comprehensive training for employees, and reliable tools and solutions that can deliver functionality, ease of use, audit reporting, and efficient workflows that protect the security of confidential data at rest and in motion.

The pressure is growing, compliance audits are looming, and tackling these issues are just part of the evolution of the healthcare industry.  


Healthcare Data Breaches on the Rise

Stories of data breaches across all industries continue to make the news, and nowhere is the pressure greater to keep data safe than on healthcare IT managers.

Healthcare IT News states that health data breaches increased by 97% in 2011. The 2012 Data Breach Investigations Report from Verizon's RISK team confirmed that over 174 million records were reported as compromised, mostly as the result of hackers accessing the data. According to the Identity Theft Resource Center 2011 Breach Stats Report, 20% of all data breaches in 2011 were in the healthcare industry.

data breach statistics for 2012

What is most startling about this report is that, according to the RISK study, 97% of these cases could have been avoided through simple or intermediate security controls.  The graphic (see right) is one of the many included in Verizon's study.

Because the most common place where data is compromised is from corporate databases and web servers, hackers who gain access to these vulnerable areas are mining this data for private information such as social security numbers, birthdates and credit card information.

Studies like these underscore the importance of establishing network security perimeters and implementing procedures that protect the privacy of  patients' information residing on these servers.

IT managers must be vigilant to combat hackers' ever more sophisticated tools and methods, and that begins with better security procedures at the office.

Security Policy and Procedures Document

The first step in ramping up security is to write and formalize a security policy and procedures document that addresses best practice protocols and that encompasses applicable HIPAA and HITECH regulations.

Next, all employees must be trained and expectations for compliance made clear,  because it takes a concerted effort on everyone's part to ensure the required protections are implemented consistently.

Secure Data Files In Motion

One of the more popular ways for hackers to capture sensitive data is via the movement of files and documents across the Internet.  In an earlier blog post, we talked about how standard FTP is commonly used to send files. However, FTP sends the files in unencrypted form, and offers no protection for the server's login credentials. Once those credentials are captured, hackers can use them to access the FTP server to mine additional data files.

While managing the security of all of the files in the office may seem overwhelming, Managed File Transfer solutions can simplify this task. Used in conjunction with a reverse proxy gateway, a much greater security perimeter is formed around the network, servers and the sensitive data that need protection.


HITECH Compliance Offers Challenges for IT

Outside of the finance industry, healthcare is one of the most regulated industries in the U.S.  As the healthcare policy debates rage on, one issue on which most Americans can agree is the need to keep personal healthcare information confidential and secure.

Major regulations such as HIPAA and HITECH have been passed into law to increase the security of our personal health information.  For better or worse, a major portion of the burden to comply with the regulations and all of their revisions falls upon the IT professionals.

HIPAA and HITECH: a brief overviewHITECH, data security, compliance

While HIPAA (Health Insurance Portability Accountability Act), passed in 1996, has received the most attention (see our blog), the more recently implemented HITECH law is quickly having an impact.

HITECH (Health Information Technology for Economic and Clinical Health Act) was passed into law in 2009. The goal for the  HITECH is to strengthen the civil and criminal enforcement of already existing HIPAA regulations that require health organizations and their business partners to report data breaches.  HITECH also increases the penalties for security violations, and implements new rules for tracking and disclosing patient information breaches.

Data breach notification

Under HITECH rules, all data breaches of PHI (protected health information) must be reported to the individuals whose data was compromised. This includes reporting files that may have been hacked, stolen, lost or even transmitted in an unencrypted fashion.  If such a breach -- or potential breach -- affects 500 people or more, the media must also be notified.   Breaches of all sizes must always be reported to the Secretary of Health and Human Services (HHS), but if fewer than 500 individuals' records are affected, healthcare organizations can report the breach via the HHS website on an annual basis.  Larger breaches must be reported to HHS within 60 days.

Penalties for data breach

The HITECH Act implements a four tier system of financial penalties assessed based on the level of "willful neglect" a healthcare organization demonstrated resulting in the breach. Fines range from  $100 per breached record for unintended violations all the way up to $50,000 per record (with an annual cap of $1.5 million) when "willful neglect" is demonstrated.

Access to electronic health records (EHRs)

HITECH requires that the software that a health organization uses to manage its EHRs must make a person's electronic PHI records available to the patient and yet remain protected from data breach by encrypting the data and securing the connection.  Not surprisingly, email is not considered a secure method of data transmission.

Business associates

Before HITECH,  business associates of healthcare organizations were not held directly liable for privacy and security under the HIPAA rules, even though they had access to PHI.  HITECH now requires that all business associates with access to PHI are subject to the HIPAA rules and must maintain Business Associate Agreements with the healthcare organization that provides the PHI.  Business associates are also required to report any data breaches and are subject to the same penalties as their healthcare business partners.


Top 10 Healthcare Data Breaches in 2010

Most data breaches are caused by simple acts of carelessness.

Last March the Ponemon Institute released its findings for the 2010 Annual Study: U.S. Cost of a Data Breach. The study -- based on the actual data breach experiences of 51 U.S. companies from 15 different industry sectors -- revealed that data breaches grew more costly for the fifth year in a row. They jumped from $204 per compromised record in 2009 to $214 in 2010.

The increase in cost, however, pales in comparison to the reputational cost of companies that have been victimized, particularly in the healthcare sector.

HITECH builds Wall of Shame

Consider that the U.S. Department of Health and Human Services has begun posting the data breaches affecting 500 or more individuals as required by section 13402(e)(4) of the HITECH Act.  The New York Times has labeled this site "The Wall of Shame".  Why? Because if patients have no faith in electronic record-keeping, the future of healthcare record automation will be jeopardized: Law suits and government regulation will bury any cost-savings.

The Back Stories of Healthcare Data Breaches

What are the stories behind the most severe healthcare sector data breaches reported in 2010?  Here are the ten most expensive stories, in ascending order of cost, documented in the Privacy Rights Clearing House database. While they're sober reminders of the problem of keeping data secure, they're also instructive: none of these breaches were malicious hacks, but were instead the results of theft, poor record-keeping policies, and simple human error.

(Note that the estimate of liability uses the $214/ record cost identified by the Ponemon Institute in its annual report. We have purposely not published the names of the reporting institutions.)

10th Most Expensive: Physician Computer Theft Exposes 25,000

On June 29th of 2010 a thief stole four computers from a physician specialist's office in Fort Worth, Texas.  This theft resulted in an estimated 25,000 patient records being exposed.  The patient records contained addresses, Social Security numbers and dates of birth. Estimated liability: $5,350,000.

9th: Medical Center Theft Exposes 39,000

On the weekend of May 22nd, 2010 two computers were stolen from a medical center in the Bronx. Names, medical record numbers, Social Security numbers, dates of birth, insurers, and hospital admission dates of patients were known to be on the computers.  Total records compromised: 39,000. Estimated liability: $8,346,000.

8th: Optometrist's Computer Theft Exposes 40,000

A computer stolen from an Optometry office in Santa Clara, California on Friday April 2nd, 2010 contained patient names, addresses, phone numbers, email addresses, birth dates, family member names, medical insurance information, medical records, and in some cases, Social Security numbers. Though the files were password protected, they were not encrypted.  A total of 40,000 records were lost, with an estimated liability of $8,560,000.

7th: Medical Records Found at Dump Expose 44,600

Medical records were found at a public dump in Georgetown, Massachusetts on August 13th, 2010. The records contained names, addresses, diagnosis, Social Security numbers, and insurance information. A medical billing company that had worked for multiple hospitals was responsible for depositing the records at the dump. The exposure required the hospitals to notify patients - an effort that continues to this date.  The total number of records known to have been exposed is 44,600, but the search continues.  Estimated liability: $9,544,400.

6th: Consultant Laptop Stolen Exposing 76,000

On March 20th, 2010, in Chicago, Illinois, a contractor working for a large dental chain found his laptop stolen.  The computer held a database containing the personal information of approximately 76,000 clients, including first names, last names and Social Security numbers. Estimated liability: $16,264,000.

5th: Lost CDs Expose 130,495

On June 30th, 2010 a medical center in the Bronx reported that it had failed to receive multiple CDs containing patient personal information that was sent to it by its billing associate.  These CDs were lost in transit. Information of 130,495 patients included the dates of birth, driver's license numbers, descriptions of medical procedures, addresses, and Social Security numbers.  Estimated liability of $27,925,930.

4th: Portable Hard Drive Theft Exposes 180,111

In Westmont, Illinois, a medical management resources company reported on May 10, 2010 that a portable hard drive had been stolen after a break-in.  The company believes the hard drive contained personally identifiable information about patients including name, address, phone, date of birth, and Social Security number. The company acknowledged that this hard drive had no encryption.  As a result, 180,111 records were exposed, creating an estimated liability of $38,543,754.

3rd: Leased Digital Copier Leaks 409,262

On April 10th, 2010 a New York managed care service in the Bronx reported that it was notifying 409,262 current and former customers, employees, providers, applicants for jobs, plan members, and applicants for coverage that their personal data might have been accidentally leaked through a leased digital copier. The exposure resulted because the hard drive of the leased digital copier had not been erased when returned to the warehouse. Estimated liability: $87,582,068.

2nd: Training Center Hard Drive Theft Center Exposes 1,023,209

The theft of 57 hard drives from a medical insurance company's Tennessee training facility in October of 2010 put at risk the private information of an estimated 1,023,209. customers in at least 32 states. The hard drives contained audio files and video files as well as data containing customers' personal data and diagnostic information, date of birth, and Social Security numbers, names and insurance ID numbers. That data was encoded but not encrypted. Estimated liability to date: $218,966,726.

Most Expensive of 2010: Two Laptops Stolen Exposes 860,000

A Gainsville, Florida health insurance company reported in November of 2010 that two stolen laptops contained the protected information of 1.2 million people.  This is an on-going story, as new estimates are calculated.  To date, the estimated liability is $256,800,000.

Preventing Exposure: Data Encryption

These cases document that the majority of the data breaches which occurred in 2010 were not the result of hacking activities, or even unauthorized access by personnel. The greatest data losses were simply the result of computer theft of portable devices and misplaced media.  Had the contents of the files been encrypted, this could have significantly reduced the risks and liabilities of these data losses.

Time and time again, industry experts point to data encryption as the key method by which organizations can prevent inadvertent exposure of sensitive data.

Of course, no healthcare organization wants to be listed on the US Department of Health and Humans Services' Wall of Shame.  And the costs - in dollars and in reputation - can be extraordinary.

Isn't it about time your management got serious about data encryption?


Managed File Transfer Streamlines HIPAA/HITECH Complexity

Managed File Transfer (MFT) systems are great for policy enforcement, access authentication, risk reduction, and more. But for HIPAA and HITECH requirements, MFT shines as a work-flow automation tool.

MFT as the B2B Enabler

It shines because Managed File Transfer systems are actually automation platforms that can help companies streamline the secure transfer of data between business partners. How? It removes many of the configuration steps traditionally required for complex Business-to-Business (B2B) processes, keeping it straightforward and manageable.

Transferring patient information is a difficult challenge which many healthcare institutions are facing. Data standards were supposed to simplify this communication between healthcare institutions and their partners. But ask any technical professional about the underlying variability of data formats, and you'll hear a tale of potential confusion and complexity.

Nightmares of Compliance

The HITECH regulations within HIPAA require the security and privacy of healthcare records, strongly suggesting the use of data encryption. These records may travel between various healthcare-related partners including hospitals, clinics, payment processors and insurers. Each partner may require their own unique data format, and each may prefer a different encryption technique or transport protocol.

Considering these differing requirements, adding each new trading partner has traditionally needed the attention of in-house programming or manual processes, which has become hugely inefficient. Furthermore, if the new trading partner is not implemented properly, this can also create the potential for errors that may lead to data exposures. Any exposures could move the healthcare institution out of HIPAA/HITECH compliance and may cost them severely.

Simplifying and Integrating Information Transfer

A Managed File Transfer (MFT) solution can significantly reduce the potential for errors and automate those processes. With a good MFT solution, any authorized personnel should be able to quickly build transfer configurations for each healthcare business partner. This should allow for quick selection of strong encryption methods (e.g. Open PGP, SFTP, FTPS, HTTPS) based on the partner's requirements, so that HITECH requirements are maintained. At the same time, a MFT solution creates a visible audit trail to ensure that compliance is sustained.

But, perhaps just as important, a good Managed File Transfer solution is constructed as a modular tool that can be easily integrated into existing software suites and workflow processes. In fact, a good MFT is like a plug-able transfer platform that brings the variability of all kinds of B2B communications under real management.

Now extend the MFT concept beyond the healthcare business sector, into manufacturing, finance, distribution, etc. Suddenly MFT isn't a niche' utility, but a productivity and automation tool that has myriad uses in multiple B2B environments.

A Day-to-day Technical Solution

Perhaps this is why the Gartner Group has identified Managed File Transfer as one of the key technologies that will propel businesses in the coming years. It's more than just a utility suite: It's a system that can be utilized over and over as an integral part of an organization's solutions to automate and secure B2B relationships. In other words, MFT isn't just for specialized compliance requirements, but a lynch-pin of efficient B2B communications technology that can bring real cost savings to every organization.

Healthcare Case Study Utilizing a MFT Solution: Bristol Hospital Takes No Risks with Sensitive Data