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OCR Secures $2.175 Million HIPAA Settlement after Sentara Hospitals Failed to Properly Notify HHS of a Breach of Unsecured Protected Health Information

Posted on November 27, 2019 by Dissent

OCR has announced another settlement. This one involves Sentara Hospitals, and it’s a somewhat surprising one in the sense that Sentara not only seems to have gotten the fundamentals of HIPAA and notification compliance wrong, but then they seem to have insisted in their wrongheaded ways even after HHS told them what their obligations were.  From OCR’s press release:

In an agreement with the Office for Civil Rights (OCR) at the U.S Department of Health and Human Services (HHS), Sentara Hospitals (Sentara) have agreed to take corrective actions and pay $2.175 million to settle potential violations of the Health Insurance Portability and Accountability Act (HIPAA) Breach Notification and Privacy Rules.  Sentara is comprised of 12 acute care hospitals with more than 300 sites of care throughout Virginia and North Carolina.

In April of 2017, HHS received a complaint alleging that Sentara had sent a bill to an individual containing another patient’s protected health information (PHI). OCR’s investigation determined that Sentara mailed 577 patients’ PHI to wrong addresses that included patient names, account numbers, and dates of services.  Sentara reported this incident as a breach affecting 8 individuals, because Sentara concluded, incorrectly, that unless the disclosure included patient diagnosis, treatment information or other medical information, no reportable breach of PHI had occurred.  Sentara persisted in its refusal to properly report the breach even after being explicitly advised of their duty to do so by OCR. OCR also determined that Sentara failed to have a business associate agreement in place with Sentara Healthcare, an entity that performed business associate services for Sentara.

“HIPAA compliance depends on accurate and timely self-reporting of breaches because patients and the public have a right to know when sensitive information has been exposed.” said Roger Severino, OCR Director.  “When health care providers blatantly fail to report breaches as required by law, they should expect vigorous enforcement action by OCR.”

In addition to the monetary settlement, Sentara will undertake a corrective action plan that includes two years of monitoring. The resolution agreement and corrective action plan may be found at https://www.hhs.gov/hipaa/for-professionals/compliance-enforcement/agreements/sentara/index.html

Related posts:

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  • HHS Office for Civil Rights Settles HIPAA Ransomware Cybersecurity Investigation for $90,000
  • HHS’ Office for Civil Rights Settles Malicious Insider Cybersecurity Investigation for $4.75 Million
  • Update on Omnicell stolen device breach: 56,000 Sentara patients impacted
Category: Commentaries and AnalysesExposureHealth DataOf NotePaperU.S.

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