Most everyone knows of someone who has been a victim of identity theft, whether through a stolen credit card or worse. But few people are aware of the risk and extent of medical identity theft, according to a new report commissioned by the U.S. Department of Health and Human Services (HHS).
The HHS report, which was published last week, is the third stage in the former Bush administration's Identity Theft Task Force project and comes at a time when the new administration is calling for moving medical records online as part of an effort to lower healthcare costs. But with those cost efficiencies and conveniences come increased risk of hacked or stolen medical records, security experts say.
The HHS report says the government should spearhead medical ID theft prevention and awareness efforts (including policy), with a public-private task force that analyzes how financial identity theft cases are handled to see if what can be adapted for medical ID theft, which the report defines as the "misuse of an individual" personally identifiable information (PII), such as name, date of birth, social security number (SSN), or insurance policy number to obtain or bill for medical services or medical goods."
The result: Medical records become inaccurate, victims lose money, the healthcare system loses money, and patient care could be compromised.
The report, which was written by Booz Allen Hamilton, distinguies between healthcare fraud and medical ID theft: "The primary motive for committing healthcare fraud is most often monetary gain, such as when fraudulent providers bill for more expensive services than those rendered. However, medical identity theft tends to be focused on the use of someone else's information to gain goods, services and healthcare, which can affect the victim's medical record and future care," according to the report.
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