Can you afford not to have it?
Every organisation will experience a data breach.
Data breaches can occur in a variety of ways:
- Notes are recorded on the wrong patient’s records
- Information is passed on to a third party inadvertently
- Data is transmitted which should be anonymised
- Patient’s records are lost or destroyed
- The computer network is compromised or hacked
- A laptop or other electronic device is stolen
Case study 1 – Human Error
An HR recruiter for a healthcare organisation accidentally attached the wrong file when sending an email to four job applicants. The file included HR demographic data consisting of 43,000 former employee names, addresses, and national insurance numbers. This example incurred a claims cost of £186,000 under the organisation’s Data Breach Insurance.
Case study 2 – Stolen Laptop
A nursing home was fined £15,000 by the Information Commissioner’s Office for failing to protect the sensitive data of its employees and residents. The penalty notice said the breach occurred when a member of nursing home staff took an unencrypted laptop home, which was then stolen overnight. The laptop contained details of 29 residents including their date of birth, mental and physical health and ‘do not resuscitate’ status. It also included personal information relating to 46 staff, including details of disciplinary matters and reasons for sick leave. The legal defence costs and notification of the breach to residents and regulatory bodies were covered by Data Breach Insurance
Data Breach Insurance can cover:
- Fines and penalties - when insurable by law
- Reputational damage and PR advice/costs following a sensitive data breach
- Costs of repairing and restoring your system and data
- Legal action by patients following the accidental loss of their data, including the associated costs of notifying them of the breach
- Lost revenue/additional costs if you are unable to access your cloud based or internal systems
For more information contact Bernard or Suzanne