Securing Patient Data: A Guide to Cybersecurity and HIPPA Compliance

The Importance of Cybersecurity in Healthcare 

The healthcare industry handles mass amounts of sensitive data every day. Everything from patient records to payment information to employee data, hospitals and other healthcare providers are responsible for keeping this information safe and out of the hands of hackers. A breach or ransomware attack can be detrimental to any healthcare business. Not only is sensitive data at risk, but the massive loss of time and money is substantial.  

It is essential to protect any software system used in healthcare from hackers. Healthcare providers must also ensure compliance with legal and regulatory requirements. Entities and providers covered by the Health Insurance Portability and Accountability Act (HIPAA) must implement robust cybersecurity measures to comply with the HIPAA Security rule. This rule ensures the availability and confidentiality of all electronic protected health information (ePHI) any healthcare provider creates and transmits. Without these measures, sensitive data is vulnerable to all types of hackers.  

Statistics on Data Breaches in Healthcare 

According to Astra, these are the top data hospital data breach statistics in 2023-2024: 

• According to HIPAA, healthcare data breaches in the U.S. have decreased by 48%. 

• 36% of healthcare facilities reported an increase in medical complications owing to ransomware attacks. 

• Only 4-7% of the health system’s IT budget is invested in cybersecurity. 

• 61% of healthcare data breach threats come from negligent employees. 

• According to Definitive Healthcare, in 2023, there were nearly two healthcare data breaches reported every day. 

• According to the U.S. Department of Health and Human Services, the 337 healthcare incidents reported affected 19,992,810 individuals. 

• 80% of the reported healthcare breaches by U.S. HHS were accounted for by hacking, while the remaining 15% was accounted for by unauthorized access. 

Data breaches expose millions of records every year, and the only way to prevent these breaches is to invest in strong cybersecurity measures and fix any weak points. In the WannaCry ransomware attack, the UK’s NHS suffered a $100 million dollar loss and infected over 200,000 computers in over 150 countries. These attacks can be prevented or stopped quickly with help from cybersecurity professionals.  

Top Attack Vectors (Breach Types) and How to Protect Against Them 

According to Verizon’s 2023 Data Breach Investigation Report (DBIR), for healthcare entities, the most common attack vectors include: 

System Intrusion 

System intrusion involves unauthorized access to systems, computers, or data, accounting for 30% of healthcare breaches. This type of attack can lead to significant data loss, system downtime, and other security breaches. 

Protection 

• Keep software and systems up-to-date with the latest software updates. 

• Implement strong firewalls and intrusion detection/prevention systems. 

• Enforce multi-factor authentication (MFA) and other strict user authentication methods. 

• Focus on building a strong security foundation with fundamental protections. 

Social Engineering 

Social engineering is a tactic that relies primarily on human error. Hackers manipulate employees to disclose sensitive information or perform actions that compromise the security of a system, computer, or data. Examples of social engineering include phishing, pretexting, and impersonation. 

Protection 

• Conduct regular employee security awareness training. 

• Develop clear policies for handling sensitive information. 

• Implement email filtering and anti-phishing measures. 

• Invest in employee training and awareness programs to build a human firewall. 

Business Email Compromise (BEC) 

Business Email Compromise (BEC) is a more targeted email attack where hackers target an executive to authorize fraudulent wire transfers or payments within the organization or to vendors. This type of attack can result in significant financial losses and damage to the organization's reputation. 

Protection 

• Implement email authentication protocols (DMARC, SPF, DKIM). 

• Provide employees training on recognizing BEC attempts. 

• Verify payment requests through multiple channels. 

Common HIPAA Compliance Challenges for Healthcare Organizations 

There are many common challenges when it comes to HIPAA compliance. Here are a few main ones to be aware of: 

External Threats to Data Security  

There are countless threats healthcare providers need to be aware of. These attacks can include cyber-attacks, hackers, third-party vendors, or even insider threats.

Healthcare practices need to be aware of threats that come with a lack of cyber security protocols.  

Lack of Employee Training  

While often not malicious, employees may be the cause of breaches and attacks. Lack of employee awareness on phishing emails or other threats can cause them to click on suspicious links unknowingly. This can then lead to a full breach once a hacker has gained access to the software system. Ensure your employees know company policies an are up to date on cybersecurity best practices.  

Evolving Technology 

Technology, in general, is constantly changing, but hacking technology and methods are also evolving as well. Integrating new healthcare technologies can also lead to gaps in older systems, so it is important to monitor and prevent any potential cybersecurity threats. Many healthcare businesses have also begun to use cloud storage, and while it is convenient, it comes with many challenges to keep protected.  

Data Security 

Constantly monitoring data security can be challenging, but cybersecurity professionals can help monitor many different areas. With confidential information at risk, healthcare businesses should have data encryption, strict access controls, regular audits, and a solid incident response plan.  

Documentation Challenges 

It is essential to keep all documentation for HIPAA compliance is maintained and updated regularly. All other record-keeping should be properly managed to prevent unauthorized access. Audit trails should be implemented to keep track of who is accessing files and when changes are made.  

Financial Impact of Data Breaches on Healthcare Businesses 

As mentioned, one of the biggest cybersecurity attacks on health care resulted in a $100 million dollar loss, but what about small to medium-sized businesses? Data breaches can be especially detrimental to small to medium-sized healthcare businesses as there is not as much funding available for recovery compared to larger corporations.

There are many direct and indirect financial costs to a data breach. Direct costs can include fines, penalties, and legal fees relating to the breach. HIPPA fines alone can range anywhere from $100 to $50,000.  

Indirect costs can include revenue loss and patient turnover due to a data breach. A data breach can put any healthcare practice out of commission and patients may leave either due to the data breach or because the affected practice is not open for patients or appointments. According to the IBM 2023 impact report, the average cost of a data breach in the healthcare industry was $10.93 million per incident, which was the highest among all industries.  

Recovery costs widely vary, but smaller businesses rarely have the funds available for a speedy recovery. Having funds saved for this or acquiring cyber insurance can help keep your business going during or after an attack.  

Benefits of Maintaining HIPAA Compliance  

Any practice in the healthcare industry should always maintain HIPAA compliance. HIPAA is a government act meant to protect both patients’ and doctors' privacy and personal information. Some additional benefits include: 

Reduced Liability 

Since HIPAA helps to protect all parties, it can help reduce liability and risk of additional violations in the event of a data breach or other hacking instances. 

Lowered Cyber Insurance Costs 

Companies and healthcare practices that demonstrate strict adherence to HIPAA practices often have lower cyber insurance premiums since they are seen as low risk.  

Improved Patient Trust 

Healthcare providers who adhere closely to HIPAA rules and regulations are more likely to build solid trust with patients. Patients take comfort in knowing their most private data is secure and protected.  

Reduced Downtime and Business Disruption 

By following HIPAA regulations, businesses can better protect against data breaches and other cyber-attacks, reducing the length of operational downtime. Compliance often includes having well thought-out incident response plans in the event of an attack.  

The Role of Cybersecurity Companies in Ensuring HIPAA Compliance 

Cybersecurity has a large role in ensuring HIPAA compliance. There are many ways a cybersecurity company can help a healthcare business of any size including the following: 

Risk Analysis and Management 

Cybersecurity professionals conduct risk assessments to identify any potential vulnerabilities or weak points in healthcare databases and other systems. Ongoing risk management should also be put in place to monitor any new threats.  

Secure Patient Data Storage  

Implementing strong encryption tools to protect patient data at all times is essential. A cybersecurity team can help to secure any storage options, including encrypting databases and cloud storage.  

Regular Audits and Monitoring 

Many cybersecurity professionals offer continuous monitoring to quickly detect and respond to security threats. They can also perform regular audits to ensure a healthcare business is adhering to all necessary HIPAA regulations and identify any gaps in compliance.  

Staff Training and Security Awareness 

Most if not all cybersecurity contractors offer some form of staff/employee training on cybersecurity best practices. This can come if the form of courses, online workshops, informational documents, and more. By providing regular reminders and informational updates, your employees can help keep patient data safe.  

Incident Response Plans 

Having a solid incident response plan is essential for any healthcare business. An incident response plan should have detailed steps on how to handle breaches. A rapid response team helps to ensure any threats are eliminated as fast as possible. 

Keep Your Healthcare Practice Compliant with Castile Security 

Does your healthcare business suffer from a lack of cybersecurity measures? Let Castile Security help! We offer robust monitoring and protection services. Schedule a call today to discuss your cybersecurity needs!