I&T's sister site Dark Reading has a story today on a healthcare fraud ring that stole doctors' and Medicare patients' identities. With the information, the ring operated phony clinics that billed Medicare and other insurers fraudelently for more than $165 million.
With this coming on the heels of yesterday's Facebook report, one can expect data security to be top-of-mind in government and among the public for some time. In August, Zurich Insurance was fined $3.5 million for failing to protect customer data, Bank Systems & Technology's Penny Crosman reported. Adding to the concern, Reuters reported yesterday that businesses are losing more money due to electronic theft and fraud than to physical theft.
Carriers and their vendors will continue to be challenged by criminals who devote significant resources to finding any vulnerabilities in systems and are perpetually adjusting. But the fight must go on, both for the bottom line and for customer peace of mind.
Nathan Golia is senior editor of Insurance & Technology. He joined the publication in 2010 as associate editor and covers all aspects of the nexus between insurance and information technology, including mobility, distribution, core systems, customer interaction, and risk ... View Full Bio