Anthem reports a major data breach at one of its databases storing consumer information
Health insurance giant Anthem has announced that it has fallen victim to a major data breach. Last week, hackers managed to break into a database that stored a wealth of consumer information. Among this information were names, birthdays, addresses, and Social Security numbers of Anthem clients. According to the health insurance company, “tens of millions” of private records were taken from the database. Anthem claims that no medical or credit card information was stolen in the attack.
Cyber security is becoming a major issue, especially in the health insurance space
Cyber security has become a major issue for the insurance industry. Malicious groups that seek to exploit consumer and business information are becoming bolder in their efforts. Over the past several months, several high-profile cyber attacks have garnered global attention, but efforts to combat these attacks have been sluggish. Anthem is the latest in a growing list of large companies that have been targeted by hackers.
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Anthem is currently working with investigators to deal with the issue
Anthem has noted that there is no indication of the personal information that was stolen being sold. Investigators are currently working to determine how extensive the data breach was. Anthem is currently reaching out to its customers, informing them of the data breach and the company may be offering some support for those that have been affected. The financial impact of the attack may be offset, if the company has a cyber insurance policy in place.
Cyber insurance may fall short of managing the risks that exist in the digital world
The growing frequency of cyber attacks is putting the insurance industry in a difficult position. Cyber insurance is not new, but it is also criticized as not being enough to help manage the risks associated with data breach and other such incidents. In the health insurance sector, data breach can be a particularly costly matter. In the U.S., insurance exchanges and insurers store information digitally, which serves as a very attractive target for hackers that would seek to exploit this information.