DataBreaches.Net

Menu
  • About
  • Breach Notification Laws
  • Privacy Policy
  • Transparency Report
Menu

HHS OCR Imposes a $548,265 Penalty Against Children’s Hospital Colorado for HIPAA Violations

Posted on December 5, 2024 by Dissent

Not all monetary penalties are for breaches affecting large numbers of patients. In this case, HHS imposed a penalty on an entity that had breaches in both 2017 and 2020. DataBreaches notes that the 2017 incident affected 3,370 patients, and the 2020 incident affected 2,553 patients — as reported to HHS at the time. Today, we are first learning that the 2020 incident affected 10,840 patients.


Today, the U.S. Department of Health and Human Services (HHS), Office for Civil Rights (OCR) announced a $548,265 civil monetary penalty against Children’s Hospital Colorado, concerning violations of the Health Insurance Portability and Accountability Act of 1996 (HIPAA) Privacy and Security Rules following receipt of breach reports in 2017 and 2020, relating to email phishing and cyberattacks . OCR enforces the HIPAA Privacy, Security, and Breach Notification Rules, which set forth the requirements that covered entities (health plans, health care clearinghouses, and most health care providers), and business associates must follow to protect the privacy and security of protected health information (PHI). The HIPAA Security Rule establishes national standards to protect and secure our health care system by requiring administrative, physical, and technical safeguards to ensure the confidentiality, integrity, and security of electronic PHI (ePHI).

“Email continues to be a very common way for cyberattackers to enter health information systems and jeopardized privacy and security,” said OCR Director Melanie Fontes Rainer. “Health care entities should identify potential risks and vulnerabilities to email accounts and train their workforce to protect health information in those accounts.”

OCR investigated Children’s Hospital Colorado following breaches which reported a phishing attack that compromised an email account containing 3,370 individuals’ PHI and another after three email accounts were breached, containing 10,840 individuals’ PHI. OCR’s investigation determined that the first reported breach occurred because multi-factor authentication was disabled on an email account. The second breaches occurred, in part, when workforce members gave permission to unknown third parties to access their email accounts. OCR also found violations of the HIPAA Privacy Rule for failure to train workforce members on the HIPAA Privacy Rule, and the HIPAA Security Rule requirement to conduct a compliant risk analysis to determine the potential risks and vulnerabilities to ePHI in its systems.

In June 2024, OCR issued a Notice of Proposed Determination seeking to impose a civil money penalty. Children’s Hospital Colorado waived its right to a hearing and did not contest OCR’s findings. Accordingly, OCR imposed a civil money penalty of $548,265.

The Notice of Proposed Determination can be found at: https://www.hhs.gov/hipaa/for-professionals/compliance-enforcement/agreements/childrens-hospital-colorado-npd/index.html.

The Notice of Final Determination can be found at: https://www.hhs.gov/hipaa/for-professionals/compliance-enforcement/agreements/childrens-hospital-colorado-nfd/index.html.

OCR recommends that health care providers, health plans, health care clearinghouses, and business associates that are covered by HIPAA take the following steps to mitigate or prevent cyber-threats:

  • Review all vendor and contractor relationships to ensure business associate agreements are in place as appropriate and address breach/security incident obligations.
  • Integrate risk analysis and risk management into business processes; conducted regularly and when new technologies and business operations are planned.
  • Ensure audit controls are in place to record and examine information system activity.
  • Implement regular review of information system activity.
  • Utilize multi-factor authentication to ensure only authorized users are accessing ePHI.
  • Encrypt ePHI to guard against unauthorized access to ePHI.
  • Incorporate lessons learned from incidents into the overall security management process.
  • Provide training specific to organization and job responsibilities and on regular basis; reinforce workforce members’ critical role in protecting privacy and security.

Source:  HHS OCR

Related posts:

  • HIPAA Security Rule Facility Access Controls – What are they and how do you implement them?
  • HHS Office for Civil Rights Imposes a $240,000 Civil Monetary Penalty Against Providence Medical Institute in HIPAA Ransomware Cybersecurity Investigation
  • HHS’ Office for Civil Rights Settles HIPAA Security Rule Investigation with Health Fitness Corporation; $227k monetary penalty plus corrective action plan
  • HHS Office for Civil Rights Settles HIPAA Ransomware Cybersecurity Investigation for $90,000
Category: Commentaries and AnalysesHackHealth DataHIPAAU.S.

Post navigation

← Deloitte Hacked – Brain Cipher Ransomware Group Allegedly Stole 1 TB of Data (1-DISPUTED)
Alleged ShinyHunters member returned to France after prison in the U.S., now facing French charges →

Now more than ever

"Stand with Ukraine:" above raised hands. The illustration is in blue and yellow, the colors of Ukraine's flag.

Search

Browse by Categories

Recent Posts

  • Mississippi Law Firm Sues Cyber Insurer Over Coverage for Scam
  • Ukrainian Hackers Wipe 47TB of Data from Top Russian Military Drone Supplier
  • Computer Whiz Gets Suspended Sentence over 2019 Revenue Agency Data Breach
  • Ministry of Defence data breach timeline
  • Hackers Can Remotely Trigger the Brakes on American Trains and the Problem Has Been Ignored for Years
  • Ransomware in Italy, strike at the Diskstation gang: hacker group leader arrested in Milan
  • A year after cyber attack, Columbus could invest $23M in cybersecurity upgrades
  • Gravity Forms Breach Hits 1M WordPress Sites
  • Stormous claims to have protected health info on 600,000 patients of North Country Healthcare. The patient data appears fake. (2)
  • Back from the Brink: District Court Clears Air Regarding Individualized Damages Assessment in Data Breach Cases

No, You Can’t Buy a Post or an Interview

This site does not accept sponsored posts or link-back arrangements. Inquiries about either are ignored.

And despite what some trolls may try to claim: DataBreaches has never accepted even one dime to interview or report on anyone. Nor will DataBreaches ever pay anyone for data or to interview them.

Want to Get Our RSS Feed?

Grab it here:

https://databreaches.net/feed/

RSS Recent Posts on PogoWasRight.org

  • The EU’s Plan To Ban Private Messaging Could Have a Global Impact (Plus: What To Do About It)
  • A Balancing Act: Privacy Issues And Responding to A Federal Subpoena Investigating Transgender Care
  • Here’s What a Reproductive Police State Looks Like
  • Meta investors, Zuckerberg to square off at $8 billion trial over alleged privacy violations
  • Australian law is now clearer about clinicians’ discretion to tell our patients’ relatives about their genetic risk
  • The ICO’s AI and biometrics strategy
  • Trump Border Czar Boasts ICE Can ‘Briefly Detain’ People Based On ‘Physical Appearance’

Have a News Tip?

Email: Tips[at]DataBreaches.net

Signal: +1 516-776-7756

Contact Me

Email: info[at]databreaches.net

Mastodon: Infosec.Exchange/@PogoWasRight

Signal: +1 516-776-7756

DMCA Concern: dmca[at]databreaches.net
© 2009 – 2025 DataBreaches.net and DataBreaches LLC. All rights reserved.