The complaint further accuses Health Net of having ineffective policies and procedures regarding the security of protected health information, and that Health Net failed to effectively supervise and train its workforce on the policies and procedures with respect to the appropriate maintenance, use, and disclosure of protected health information.

United and Oxford have acquired ownership of Health Net; while not causing the data breach, their acquisition includes the litigation regarding the data breach.


Connecticut Attorney General Richard Blumenthal stated in part in a press release on his website: "Sadly, this lawsuit is historic -- involving an unparalleled health care privacy breach and an unprecedented state enforcement of HIPAA. Protected private medical records and financial information on almost a half million Health Net enrollees in Connecticut were exposed for at least six months -- most likely by thieves -- before Health Net notified appropriate authorities and consumers.

"The staggering scope of the data loss, and deliberate delay in disclosure, are legally actionable and ethically unacceptable. Even more alarming than the breach, Health Net downplayed and dismissed the danger to patients and consumers. Failing to protect patient privacy blatantly violates federal law and Health Net's public trust. We are seeking a preliminary order to protect patients and consumers, and will fight for civil penalties."

Read more:
AG Blumenthal's press release:
http://www.ct.gov/ag/cwp/view.asp?Q=453916&A=3869

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