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Fraud Resulting From Electronic Medical Record Theft

By Phil Sullivan

ARMA International reported a very troubling healthcare statistic.  Fraud Resulting From Electronic Medical Record Theft Doubled in 2009.

Fraud resulting from exposure of health data has risen from 3% in 2008 to 7% in 2009, a 112% increase, a recent Javelin Strategy & Research report found. There were more than 275,000 cases of medical information theft in the United States last year, which means there were an estimated 19,250 cases of fraud resulting from stolen health records in 2009.

Information such as social security numbers, addresses, medical insurance numbers, past illnesses, and sometimes credit card numbers, can help criminals commit several types of fraud. These may include: making payments from stolen credit card numbers and ordering and reselling medical equipment by using stolen medical insurance numbers,

–InformationWeek reported.

As the use of electronic medical records increase, so will incidents of related fraud. Further, James Van Dyke, president of Javelin Strategy & Research, said, “We think medical providers aren’t up to the task. They won’t have security best practices in place to match the incidents of fraud, and we think theft of personal health information is going to get worse.”

An increase of 112% in one year is very unsettling.  What is you doing at your facility to protect yourself from Electronic Medical Record Theft?  DB Technology offers a Red Flag solution that allows you to verify patient photos and report suspected breaches at the point of registration.

On May 19, 2010 you can attend a complimentary webinar that highlights the Red Flag solution.  On June 1, 2010, the Federal Trade Commission will require all healthcare providers develop programs to protect against identity theft.  At the point of registration the patient’s image can be captured, stored and compared for use in identity verification.

There is still time to put your solution in place.

Phil Sullivan is the Director of Technology and Marketing for DB Technology.  He originally joined DB Technology in 1999 and is responsible for the development and execution of DB Technology’s marketing, technology and social media initiatives.

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