Managed File Transfer Processes Improved With GoAnywhere Director 4.6

Omaha, NE - May 30, 2014 Linoma Software places a premium on developing enhancements which streamline Managed File Transfer (MFT) processes for its customers.  GoAnywhere Director version 4.6 is a prime example, adding a wealth of new features that further reduce the effort needed to set up and administer file transfers.  This update also includes greater control over file transfer jobs with improved debugging, job queue management, and automatic encryption of files at rest.

Efficient Administration

With version 4.6, batch jobs can now be organized and prioritized within their own custom job queues. For instance, customers can assign a higher priority to certain jobs in order to meet their service level agreements with select trading partners. Jobs can also be executed sequentially using single-threaded job queues to ensure that file transfers occur in the order they were submitted.

Director 4.6 logoManipulating groups of data is even easier in 4.6. For instance, the values from a database table can be modified to meet a vendor's requirements when written to an XML, CSV, fixed-width, or Microsoft Excel file.  In turn, before being imported into a database system, the values in a document can be read and altered to meet the application's requirements.

Additionally, file monitors can be set up to easily scan SFTP, FTP and FTPS servers to execute a project workflow when a new, updated or deleted file is detected. With a step-by-step wizard, you can indicate the folders to scan, the file pattern and the frequency.  If no files are found on the targeted server for the time period, GoAnywhere can alert personnel quickly with email notifications.

Greater Control

While GoAnywhere Director makes it easy to build complex file transfer projects, there are occasions when a user needs a deeper level of control and visibility into the steps being performed.  This newest release introduces a debugging tool for project workflows.  The new debugger allows an administrator to step through tasks and view or modify the value of variables after each task has executed.

One of the more significant enhancements in version 4.6 is the ability to run remote commands on SSH enabled servers. The new "Execute SSH Commands" task allows administrators to pass command parameters using variables, and the output from the command can be directed to the job log or an output file. As an example, this new task can be used to automate software installations, perform upgrades and other admin functions on Linux and UNIX servers.

Improved Security

Security continues to be a top priority for Linoma Software.  The release of GoAnywhere Director 4.6 brings with it the ability to set up folders that secure data at rest using automatic AES-256 encryption. This helps to provide compliance with PCI, HIPAA and other strict data security regulations.

A complete list of enhancements can be found in the release notes on the GoAnywhere Director website.

About Linoma Software

Founded in 1994, Linoma Software provides innovative solutions for managed file transfer and data encryption.  With a diverse install base of more than 3,000 customers around the world, Linoma's focus on research and development, as well as customer service and support, contributes to its leadership in the software industry.

About GoAnywhere Managed File Transfer Suite

GoAnywhere is a managed file transfer and secure FTP solution that will streamline and automate file transfers with trading partners, customers, employees and internal servers. Enterprise level controls and detailed audit logs are provided for meeting strict security policies and compliance requirements including PCI DSS, HIPAA, HITECH, SOX, GLBA and state privacy laws.

GoAnywhere can be installed on most platforms including Windows®, Linux®, IBM® i (iSeries®), UNIX®, AIX® , and Solaris®, and supports popular protocols including FTP, SFTP, HTTPS, Open PGP, AES, and AS2.  NIST® certified FIPS 140-2 validated encryption is included to meet Federal guidelines.  An optional Secure Mail module for ad-hoc file transfers is available. The GoAnywhere solution is comprised of three products:

  • GoAnywhere Director, a Managed and Automated File Transfer solution with full audit trails
  • GoAnywhere Services, a Secure FTP Server with optional Web Client for browser-based transfers
  • GoAnywhere Gateway, a Reverse Proxy DMZ gateway

Visit GoAnywhere.com to download a free trial.

Video: How to Encrypt Files with OpenPGP Studio

Have you ever been asked to email a file that includes personal information like your prescription records, or your banking account information, or even your social security number? Many people share that kind of information over the internet and simply hope that it doesn't get hacked.

Download OpenPGP StudioLinoma Software, developer of the enterprise solution GoAnywhere Managed File Transfer Suite, has made it much easier to keep this kind of confidential data protected with its recently released desktop encryption tool called GoAnywhere OpenPGP Studio.

This free PC tool is designed for people who occasionally need to share or store sensitive data. OpenPGP Studio lets users encrypt, decrypt, sign and verify files from their PCs or workstations. An integrated key manager allows anyone to quickly create, import, export and manage OpenPGP keys needed to encrypt and decrypt files. Best of all, it's intuitive so even those who claim to be "non-technical" can confidently use OpenPGP Studio.

Here's a video available on YouTube, that shows just how easy OpenPGP Studio is to use.

You can download OpenPGP Studio from the GoAnywhere website, and then let us know what you think! If you need a more robust solution that includes automation, check out the GoAnywhere suite of products.

OpenPGP, PGP and GPG: What is the difference?

With privacy capabilities of encryption methods such as PGP (Pretty Good Privacy), data security can be heightened and privacy can be achieved.  There are various approaches, however, and various elements of comparison for each of these acronyms.  This article will explore the differences between PGP, OpenPGP, and GPG (GNU Privacy Guard), offering brief histories of their creations and summaries of their capabilities.

PGP (Pretty Good Privacy)

The company, PGP Inc., owned the rights to the original PGP encryption software.  This software was developed by Phil Zimmermann & Associates, LLC and released in 1991 to ensure the security of files that were posted on pre-internet bulletin boards.  From 1997 until 2010, the software changed hands several times until it was acquired by Symantec Corp., who continues to develop the PGP brand.

PGP encryption uses a combination of encryption methodologies such as hashing, data compression, symmetric-key cryptography and public key cryptography to keep data secure.  This process can be used to encrypt text files, emails, data files, directories and disk partitions.


Automate OpenPGP EncryptionZimmerman, one of the original PGP developers, soon began work on an open-source version of PGP encryption that employed encryption algorithms that had no licensing issues.

In 1997 he submitted an open-source PGP (OpenPGP) standards proposal to the IETF (Internet Engineering Task Force), to allow PGP standards-compliant encryption vendors to provide solutions that were compatible with other OpenPGP-compliant software vendors.   This strategy created an open and competitive environment for PGP encryption tools to thrive.

Today, OpenPGP is a standard of PGP that is open-source for public use, and the term can be used to describe any program that supports the OpenPGP system.

GPG (GNU Privacy Guard)

GnuPGP was developed by Werner Koch and released in 1999 as an alternative to what is now Symantec's software suite of encryption tools.  It is available as a free software download, and is based on the OpenPGP standards established by the IETF so that it would be interoperable with Symantec's PGP tools as well as OpenPGP standards. Therefore, GPG can open and unencrypt any PGP and OpenPGP standards file.

GPG provides a graphic user interface when integrating into email and program systems such as Linux.  Some software solutions for encryption utilize GPG coding, while others encrypt using command line functions in a menu-based Perl script.

A variety of popular solutions have developed their PGP encryption products following the OpenPGP standards.  Some of these products include GoAnywhere OpenPGP Studio and GoAnywhere Managed File Transfer.


OpenPGP is the IETF-approved standard that describes encryption technologies that use processes that are interoperable with PGP.  PGP is a proprietary encryption solution, and the rights to its software are owned by Symantec.  GPG is another popular solution that follows the OpenPGP standards to provide an interface for end users to easily encrypt their files.

As the need to encrypt and protect data becomes ever more critical, organizations will continue to develop software based on these three systems.  

Do Business with the Government with FIPS 140-2

FIPS 140-2 is a standard with which cryptographic-based (encryption) security systems must comply when protecting sensitive data in U.S. government agencies and departments.  This FIPS 140-2 standard also extends to other entities that may exchange sensitive data with the federal government, including defense contractors, state agencies, county and city government.

Brief history of FIPS 140-2

The National Institute of Standards and Technology (NIST) is an agency of the U.S. Department of Commerce which establishes the standards for cryptographic modules used to protect and secure sensitive information.  NIST issued FIPS 140-1, the first set of standards developed in conjunction with cryptographic industry vendors and users on January 11, 1994. This group specified four security levels and eleven requirement areas of meeting a cryptographic standard.

On May 25, 2001, NIST issued FIPS 140-2, updating its specifications to address the technology changes since 1994 and is currently working on the draft version of FIPS 140-3 issued in Sept. 2009.

Why FIPS 140-2

FIPS 140-2 data securityThe purpose of the FIPS 140-2 standard is to coordinate the standards to be used by U.S. government and other regulated industries in gathering, storing, transferring, sharing, and disseminating sensitive information.  It also provides an FIPS 140-2 accreditation program for private sector vendors that develop cryptographic modules that can be used in other products.  For instance, our GoAnywhere solution uses an encryption module from RSA® which is FIPS 140-2 certified by an independent lab.

Traditional methods of sending files such as email or FTP do not meet the FIPS 140-2 standards. If you intend to exchange files with the federal government, it is critical that your file transmission is encrypted with a FIPS 140-2 compliant encryption module.

When researching managed file transfer (MFT) solutions, it is important to determine if they have a FIPS 140-2 compliant module available, especially if you are exchanging sensitive data with the federal government. Read more about GoAnywhere's FIPS 140-2 support.

By utilizing an automated and secure file transfer solution like GoAnywhere along with FIPS 140-2 compliant encryption, doing business with the federal government and other such regulated industries becomes much easier.  

Managed File Transfer Solution Now on Video

We're always looking for new ways to illustrate the power and versatility of our GoAnywhere suite of secure file transfer and encryption solutions.  Very simply, GoAnywhere helps you streamline, encrypt and automate your file transfer processes to save time and money while meeting ever-growing compliance requirements.

Still, we find it's sometimes challenging to quickly explain the power and convenience of our managed file transfer software, so we're excited to introduce some brand new videos to showcase the flexibility and control GoAnywhere clients have.

GoAnywhere secure file transfer software solution

GoAnywhere's suite of secure file transfer solutions helps you manage all of your organization's inbound and outbound file transfers -- both internally as well as with external trading partners.

With support for virtually any platform and protocol, including FTP, FTPS, SFTP, HTTP/S, AS2, SMTP and ZIP, GoAnywhere puts local control of the entire process into one intuitive dashboard.  GoAnywhere eliminates the need for custom scripts, generates detailed audit logs, and provides a rich catalog of features for comprehensive management, all without additional hardware or specialized skills.

If you'd like to test drive a free trial, let us know.  We'd also love to hear what you think of our videos!

Citigroup Breach Triggers Congressional Response

The data breach at Citigroup in May - a breach which reportedly exposed an estimated 200,000 customer accounts - has motivated members of the U.S. Congress to re-introduce legislation to penalize the very organizations that have been victimized by hackers.  What are the next steps your company should take?

New bills to protect consumers' personal dataLinoma Software Managed File Transfer Solutions

Two bills are proposed by both House and Senate legislators.

First, Sen. Patrick Leahy (D-Vt.) has introduced the Personal Data Privacy and Security Act of 2011.  The new bill provides:

  • Tough criminal penalties for individuals who intentionally or willfully conceal a security breach involving personal data;
  • A requirement that companies that maintain personal data establish and implement internal policies to protect data privacy and security; and
  • A requirement that the government ensure sensitive data is protected when the government hires  third-party contractors.

This act would also require, under threat of fine or imprisonment, that businesses and agencies notify affected individuals of a security breach by mail, telephone or email  "without unreasonable delay." Media notices would be required for breaches involving 5,000 or more people.  The FBI and the Secret Service would need to be notified if the breach affects 10,000 or more people, compromises databases containing the information of one million or more people, or impacts federal databases or law enforcement.

But that's not the only security bill that has businesses concerned.

In the House, Rep. Mary Bono Mack (R-Ca) is holding hearings in preparation of a bill she's named The SAFE (Secure and Fortify) Data Act that would also require "reasonable security policies and procedures" to protect consumers and enable disclosures to victims and the Federal Trade Commission within 48 hours of a data breach.

Companies no longer viewed as the victims

All this sounds good from the consumer's point of view. But what about the expense - and potential Linoma Software GoAnywhere Managed File Transfer Solutionpenalties - suffered by the "owners" of the data: the businesses themselves?

While these bills may address the public's interest for notification -- and indeed they would bring some semblance of a national standard - they also represent an interesting shift in the liabilities that companies will face.  How is that?

Though we currently have no federal data breach notification law, federal policies now view the companies that experience a data breach as the victims of crime. However, under the proposed legislative bills, companies that do not act quickly to appropriately secure the personal data of customers - or fail to report a data breach in a reasonable amount of time - would not only suffer the theft of data, but also be held liable for its loss.

This is a significant shift. Companies are now being viewed not as the owners of consumer data, but merely guardians and trustees whose job it is to protect that data or face criminal penalties. And the message is clear: if companies won't take adequate precautions to secure the sensitive data of our customers, they'll pay a hefty price.

Where does your company stand?

In a world in which diligent hackers have the power break into seemingly secure networks and systems, what can your company do?

The challenge is first to determine exactly what qualifies as adequate precautions.

GoAnywhere Secure Managed File Transfer A review of the HIPAA HITECH security provisions that took effect last year provides some insight about what the government considers adequate protection.

HITECH strongly recommends the use of encryption technology. Encryption is a good place for your company to start, especially when dealing with the data your company stores on its servers.  If sensitive data itself is kept securely encrypted, a data breach doesn't expose the content of the information itself.

Secure managed file transfer protocols - which send data using encryption - is the second place to focus attention.

If data is encrypted when it is being securely transmitted between business partners, the value of that data should it be breached - through hacking, theft, or other malicious actions - is worthless.  Encryption and secure managed file transfers can dramatically minimize the holes of technical breaches, significantly reducing an organization's liability.

Preventing exposure

The Citigroup data breach has rekindled the momentum for a nationwide, cross-industry data breach reporting standard. This standard will not to eliminate the physical breaches themselves. What's needed is legislation to encourage companies secure the underlying data that is the target of the hackers.

Isn't it time for your company to take a serious look at its liabilities and to investigate how encryption and managed file transfers can close these important security holes?

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?

Encrypting Files with OpenPGP

When our users send a file over the Internet there are really just a few things that seem important to them at the time:

a)      Is the file complete?

b)      Is it being sent to the right place?

c)      Will it arrive intact? and -- if the data is sensitive --

d)     Will the intended recipient (and only that recipient) be able to use it?

That's where encryption comes in: By scrambling the data using one or more encryption algorithms, the sender of the file can feel confident that the data has been secured.

But what about the file's recipient? Will she/he be able to decode the scrambled file?

Encryption, Decryption, and PGP

For years, PGP has been one of the most widely used technologies for encrypting and decrypting files. PGP stands for "Pretty Good Privacy" and it was developed in the early 1990s by Phillip Zimmerman. Today it is considered to be one of the safest cryptographic technologies for signing, encrypting and decrypting texts, e-mails, files, directories and even whole partitions to increase the security.

How PGP Works

PGP encryption employs a serial combination of hashing, data compression, symmetric-key cryptography, and, finally, public-key cryptography. Each step uses one of several supported algorithms. A resulting public key is bound to a user name and/or an e-mail address. Current versions of PGP employ both the original "Web of Trust" authentication method, and the X.509 specification of a hierarchical "Certificate Authority" method to ensure that only the right people can decode the encrypted files.

Why are these details important for you to know?

Growing Pains for PGP

PGP has gone through some significant growing pains - including a widely publicized criminal investigation by the U.S. Government. (Don't worry! The Federal investigation was closed in 1996 after Zimmerman published the source code.)

One result of PGP's growing pains has been the fragmentation of PGP: Earlier versions of the technology sometimes can not decode the more recent versions deployed within various software applications. This PGP versioning problem was exacerbated as the ownership of the PGP technology was handed off from one company to another over the last 20 years.

And yet, because PGP is such a powerful tool for ensuring privacy in data transmission, its use continues to spread far more quickly than other commercially owned encryption technologies.

Fragmentation and the Future of PGP

So how is the industry managing the issue of PGP fragmentation? The answer is the OpenPGP Alliance.

In January 2001, Zimmermann started the OpenPGP Alliance, establishing a Working Group of developers that are seeking the qualification of OpenPGP as an Internet Engineering Task Force (IETF) Internet Standard.

Why is this important to you? By establishing OpenPGP as an Internet Standard, fragmentation of the PGP technology can be charted and - to a large degree - controlled.

This means that the encrypted file destined for your system will be using a documented, standardized encryption technology that OpenPGP can be appropriately decrypted. The standardization helps ensure privacy, interoperability between different computing systems, and the charting of a clear path for securely interchanging data.

The OpenPGP Standard and Linoma Software

OpenPGP has now reached the second stage in the IETF's four-step standards process, and is currently seeking draft standard status. (The standards document for OpenPGP is RFC4880.)

Linoma Software uses OpenPGP in its GoAnywhere Director Managed File Transfer solution. Just as importantly, Linoma Software is an active member of the OpenPGP Alliance, contributing to the processes that will ensure that OpenPGP becomes a documented IETF Internet Standard. This will ensure that your investment in Linoma's GoAnywhere managed file transfer software remains current, relevant, and productive.

For more information about OpenPGP and the OpenPGP Alliance, go to http://www.openpgp.org. To better understand how OpenPGP can help your company secure its data transfers, check out Linoma Software's GoAnywhere Director managed file transfer (MFT) solution.

Who is Protecting Your Health Care Records?

Patient Privacy in JeopardyHealth Care Records

How important is a patient's privacy? If your organization is a health care facility, the instinctive answer that comes to mind is "Very important!" After all, a patient's privacy is the basis upon which the doctor/patient relationship is based. Right?

But the real answer, when it comes to patient data, may surprise you. According to a study released by the Ponemon Institute, "patient data is being unknowingly exposed until the patients themselves detect the breach."

The independent study, entitled "Benchmark Study on Patient Privacy and Data Security" published in November of 2010examined  the privacy and data protection policies of 65 health care organizations, in accordance with the mandated Health Information Technology for Economic and Clinical Health (HITECH) Act of 2009. HITECH requires health care providers to provide stronger safeguards for patient data and to notify patients when their information has been breached.

Patient Data Protection Not a Priority?

According to the study, seventy percent of hospitals say that protecting patient data is not a top priority. Most at risk is billing information and medical records which are not being protected. More significantly, there is little or no oversight of the data itself, as patients are the first to detect breaches and end up notifying the health care facility themselves.

The study reports that most health care organizations do not have the staff or the technology to adequately protect their patients' information. The majority (67 percent) say that they have fewer than two staff members dedicated to data protection management.

And perhaps because of this lack of resources, sixty percent of organizations in the study had more than two data breaches in the past two years, at a cost of almost $2M per organization. The estimated cost per year to our health care systems is over $6B.

This begs the question: Why?

HITECH Rules Fail to Ensure Protection

HITECH encourages health care organizations to move to Electronic Health Records (EHR) systems to help better secure patient data. And, indeed, the majority of those organizations in the studies (89 percent) said they have either fully implemented or planned soon to fully implement EHR. Yet the HITECH regulations to date do not seem to have diminished security breaches at all, and the Ponemon Institute's study provides a sobering evaluation:

Despite the intent of these rules (HITECH), the majority (71 percent) of respondents do not believe these new federal regulations have significantly changed the management practices of patient records.

Unintentional Actions - The Primary Cause of Breaches

According to the report, the primary causes of data loss or theft were unintentional employee action (52 percent), lost or stolen computing device (41 percent) and third-party mistakes (34 percent).

Indeed, it would seem that - with the use of EHR systems - technologies should be deployed to assist in these unintentional breaches. And while 85 percent believe they do comply with the loose legal privacy requirements of HIPAA, only 10 percent are confident that they are able to protect patient information when used by outsourcers and cloud computing providers. More significantly, only 23 percent of respondents believed they were capable of curtailing physical access to data storage devices and severs.

The study lists 20 commonly used technology methodologies encouraged by HITECH and deployed by these institutions, including firewalls, intrusion prevention systems, monitoring systems, and encryption. The confidence these institutions feel in these technologies are also listed. Firewalls are the top choice for both data breach prevention and compliance with HIPAA. Also popular for accomplishing both are access governance systems and privileged user management. Respondents favor anti-virus and anti-malware for data breach prevention and for compliance with HIPAA they favor encryption for data at rest.

The Value of Encryption

The study points to the value of encryption technologies - for both compliance purposes and for the prevention of unintended disclosure - and this value is perceived as particularly high by those who participated in the study: 72 percent see it as a necessary technology for compliance, even though only 60 percent are currently deploying it for data breach prevention. These identified needs for encryption falls just behind the use of firewalls (78 percent), and the requirements of access governance (73 percent).

Encryption for data-at-rest is one of the key technologies that HITECH specifically identifies: An encrypted file can not be accidentally examined without the appropriate credentials. In addition, some encryption packages, such as Linoma's Crypto Complete, monitor and record when and by whom data has been examined. These safeguards permit IT security to audit the use of data to ensure that - should a intrusion breach occur - the scope and seriousness of the breach can be assessed quickly and confidently.

So how important is a patient's privacy? We believe it's vitally important. And this report from the Ponemon Institute should make good reading to help your organization come to terms with the growing epidemic of security breaches.

Read how Bristol Hospital utilizes GoAnywhere Director to secure sensitive data.

Dealing with the HITECH Requirements of HIPAA

Last November, six hospitals and one nursing home were fined in California for data security breaches related to patient healthcare records. The total fines were $792,500 by the California Attorney General. The cause? The facilities failed to prevent unauthorized access to confidential patient medical information.

While these breaches made headline news in California, they were but the tip of the iceberg of the total healthcare record breaches in 2010. According to the Privacy Rights Clearinghouse, there were 592 reported healthcare data security breaches last year, which potentially exposed more than 11.5 million records. This was double the breaches of healthcare facilities in 2009, opening severe liabilities to the organizations that housed those patient records.

So what now? If your organization can be fined for failing to prevent unauthorized access, how can you safeguard your company's healthcare records?

HITECH - What is it?

Subtitle D of the Health Information Technology for Economic and Clinical Health Act (HITECH Act), enacted as part of the American Recovery and Reinvestment Act of 2009, extended the complete Privacy and Security Provisions of HIPAA to business associates of covered entities. This includes the extension of newly updated civil and criminal penalties to business associates.  On November 30, 2009, the regulations associated with the new enhancements to HIPAA enforcement took effect.

What's it mean? If your company merely does business with an organization that is involved with healthcare records, HITECH says that you are liable for any security breaches on your watch that reveal patient vital healthcare information. This could include things like names, addresses, social security and Medicare/Medicaid numbers, or any info that could lead to misuse of healthcare information.

So how can your company protect itself from this liability?

The Department of Health and Human Services (DHHS) interim Security Rule says that "a covered entity must consider implementing encryption as a method for safeguarding electronic protected health information." The DHHS rule does permit something called "comparable methods" in lieu of encryption, but it does not specify what those methods might be.

Encryption vs. Comparable Methods: The Vague Alternatives

To determine if your company can provide security through some so-called "comparable method" it's important to look at the types of breaches that occurred in the past. The Privacy Rights Clearinghouse provides a good free search service to investigate at http://www.privacyrights.org.

By looking through the types of breaches that occurred in 2010, (stolen laptops, doctors emailing records to their home computers, lost or missing flash drives, unauthorized browsing by employees), the first question that you should be asking is "Can our organization really secure all those potential mechanisms for data theft without relying upon encryption?" It's a difficult task, and the resources that your organization will expend (hardware solutions, policy solutions, etc.) can be significant.

Still, the monetary fines for failing to provide adequate protection are severe, and your management may decide that a thorough review of your security will be required.

By comparison, implementing encryption technology like Crypto Complete - is undoubtedly a faster and more cost-effective means. Crypto Complete encrypts sensitive data at the source using integrated key management, complete with auditing, field encryption and backup encryption, without interrupting the normal IT workflow. Data encryption permits the source of information itself to be put under a lock and key, and once encrypted, that data is protected from both unlawful use and the HITECH liability rule.

Now is the Time

Finally, consider the downside of ignoring the HITECH rules? Take a look at one attorney's perspective "Responding to an Electronic Medical Records Security Breach: What Every Health Care Provider Needs to Know" to get a handle on the steps for determining the scope of the law. You'll be surprised at how comprehensive the requirements have become, and why your management should be concerned.

Encrypting your data is the most recognized, safest and least expensive means of protecting your organization from liability from unauthorized access. If you've been to putting off addressing the potential pitfall of unauthorized access to your data, now is the time to investigate.