Cost of a health insurance security breach? NY watchdogs say it's $4.5m
New York regulators continue turning the screws on organizations with slapdash computer security.
In addition to coughing up the cash to settle claims it violated New York State's Department of Financial Services' cyber security rules, EyeMed also agreed to improve its network defenses and conduct a comprehensive risk assessment of its IT systems, subject to DFS review and approval. The data snafu dates back to 2020 and, according to EyeMed, it's likely the result of one of its people falling for a phish. In July 2020, the vision insurer discovered an intruder had gained access to a shared email account that employees used to process enrolment. Customers' personal information would have been at the snooper's fingertips.
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