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IT malpractice: Doc operates on server, costs hospitals $4.8 million

Jaikumar Vijayan | May 9, 2014
An inadvertent data leak that stemmed from a physician's attempt to reconfigure a server cost New York Presbyterian Hospital and Columbia University Medical Center $4.8 million to settle with the U.S. Department of Health and Human Services.

HHS has also extracted settlements from several other healthcare entities over the past two years as it beefs up the effort to crack down on HIPAA violations.

In April, it reached a $2 million settlement with with Concentra Health Services and QCA Health Plan. Both organizations reported losing laptops containing unencrypted patient data.

Last December, a Massachusetts dermatology clinic agreed to pay $150,000 to settle an HHS investigation into the loss of a thumb drive containing unencrypted patient health information.


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