It used to be that doctors, dentists and other healthcare providers were not too concerned about cyber attacks. That was something that happened to the Targets, Anthems, JP Morgan Chases and Home Depots of the world—not to small physician offices. But things have changed, as cyber hackers zero in on patient health information (PHI) as a treasure trove of privacy information that can be sold on the black market.
What has caused this change of heart and this rush by doctors to purchase cyber liability insurance? Mainly the hack of health insurer Anthem, Inc.’s computer system, a breach disclosed in early February 2015 and affecting up to 80 million customers. In this attack, Social Security numbers and other vital health information were stolen. According to the reports, because cyber liability insurance was in place, the financial blow to the company was minimized.
According to insurance analysts, spending on cyber liability insurance nearly doubled in 2014 from 2013, to about $2 billion.
Cyber liability insurance policies for physicians and surgeons and dentists cover a wide range of losses, including fixing computer networks, tracking down the hackers, notifying affected customers and defending against litigation, as well as public relations campaigns to restore the reputation of a medical or dental practice. In addition, most policies have a risk management component, to help prevent a cyber attack in the first place.
The cost of cyber liability insurance varies according to the size of the practice, the extent of the coverage, the value of the data at risk, loss history, and the strength of internal defenses. Gracey-Backer, Inc. offers a cyber liability insurance policy for only $463 per doctor. We also offer more comprehensive and complex policies for larger medical and dental practices. Our cyber liability insurance specialists can guide a physician, surgeon, oral surgeon or dentist toward a tailor made program.