WGA InsureBlog

Health Net’s recent settlement with the Connecticut Attorney General shines a light on some of the noteworthy costs and risks of data breaches. It’s a sobering view.

In early July 2010, Health Net settled allegations by the Connecticut Attorney General that Health Net had violated its obligations under the HIPAA privacy and security rules. The settlement capped the first enforcement by a state Attorney General of HIPAA violations since such state enforcements were authorized by the Health Information Technology for Economic and Clinical Health (HITECH) Act. Read more…

Yesterday’s New York Times describes possible harm to customers of biotechnology giant, Genzyme Corporation, arising out of the reduced availability of Genzyme’s products as a result of a plant shutdown caused by a virus contamination at Genzyme’s plant. The story relates that such a viral contamination is not uncommon in the production of biological products. The inability to supply life-saving drugs that have no easy replacement from other manufacturers, not surprisingly, may have led to adverse outcomes for Genzyme’s patients and this type of exposure to harm exists for many other drug and device manufacturers. Read more…

A Group Excess Liability program is a master umbrella policy issued to the sponsoring organization or employer that provides additional coverage to participants.