New HampshireDepartment of JusticeOffice of the Attorney General

News Release

For Immediate Release
October 17, 2023

Contact:
Michael S. Garrity, Director of Communications
michael.s.garrity@doj.nh.gov | (603) 931-9375

Attorney General Formella Announces Multistate Settlement with Heath Care Clearinghouse Inmediata for Data Breach Impacting 1.5 Million Consumers

Concord, NH – Attorney General John M. Formella announces today, New Hampshire, along with 32 other attorneys general, has reached a settlement with health care clearinghouse Inmediata for a coding issue that exposed the protected health information (“PHI”) of approximately 1.5 million consumers for almost three years. Under the settlement, Inmediata has agreed to overhaul its data security and breach notification practices and make a $1.4 million payment to states. New Hampshire will receive $15,137.00 from this settlement.

“The Inmediata Health Group failed to secure the protected health information of 1,226 New Hampshire residents. First, Inmediata left electronic health information exposed online, then they failed to notify consumers of the breach as soon as possible as required by New Hampshire law,” said Attorney General Formella. “From inadequate security measures to insufficient safeguards for protected health information, Inmediata simply failed consumers by not keeping their sensitive, personal health information secure. The agreement that we are announcing today will help ensure that Inmediata implements much stronger protections for sensitive consumer information going forward.”

As a health care clearinghouse, Inmediata facilitates transactions between health care providers and insurers across the United States. On January 15, 2019, the U.S. Department of Health & Human Services’ Office of Civil Rights alerted Inmediata that PHI maintained by Inmediata was available online and had been indexed by search engines. As a result, sensitive patient information could be viewed through online searches, and potentially downloaded by anyone with access to an internet search engine.

Although Inmediata was alerted to the breach on January 15, 2019, Inmediata delayed notification to impacted consumers for over three months and sent misaddressed notices. Further, the notices were far from clear—many consumers complained that without sufficient details or context, they had no idea why Inmediata had their data, which may have caused recipients to dismiss the notices as illegitimate.

Today’s settlement resolves allegations of the attorneys general that Inmediata violated state consumer protection laws, breach notification laws, and HIPAA by failing to implement reasonable data security, including failing to conduct a secure code review at any point prior to the breach, and then failing to provide affected consumers with timely and complete information regarding the breach, as required by law.

Under the settlement, Inmediata has agreed to strengthen its data security and breach notification practices going forward, including implementation of a comprehensive information security program with specific security requirements include code review and crawling controls, development of an incident response plan including specific policies and procedures regarding consumer notification letters, and annual third-party security assessments for five years.

New Hampshire Department of Justice
1 Granite Place South | Concord, NH | 03301
Telephone: 603-271-3658