Cyber liability and regulatory risk continue to be a concern for the health care industry. What are these risks and how can you protect your practice?
Cyber liability is a type of risk that arises out of unauthorized use of, or unauthorized access to, electronic data within your network caused by virus attacks, online and offline data breaches, lost or stolen laptops, etc.
HIPAA and the HITECH Act require practices to notify patients when a breach occurs, and the practice may be subject to fines and penalties.
Protect yourself, your practice
Regulatory risk protection provides coverage for defense costs, as well as payment of fines and penalties that may result from a government agency audit.
Every health care provider who files Medicare claims may be audited by Recovery Audit Contractors (RACs) hired by the government to identify payment errors.
Some professional liability policies now include a limited amount of coverage for each of these risks at no additional premium charge. While a small amount of coverage is better than none, in many cases it will only mitigate a fraction of the costs if you experience a breach in your network or experience a lengthy audit.
Both ProAssurance and Medical Protective include a limited amount of coverage through endorsements to their policies. Higher limits of liability are available for an additional charge.
Consult with your professional liability insurance agent to learn more or contact Lori Munroe, senior vice president of Medical Malpractice with the ISMA Insurance Agency, at (317) 803-9626 or via email.