While there are several advantages of using Electronic Medical Records, practices that have already instituted EMR into their practices, or are in the process of doing so need to realize that there are also additional risks involved. Network Security issues, Data Recovery Costs and related HIPAA violation claims can result from a breach of network security and loss of patient information.
To address this concern, one of the solutions practices can look into is purchasing PDSI (Privacy and Data Security Insurance). This relatively low cost insurance should seriously be considered by any practice instituting EMR.
Privacy and Data Security Insurance (PDSI):
- Network Security and Privacy Insurance – Defends the insured for any claims arising out of a breach of privacy, virus attack, denial of service or HIPAA violation. The coverage is for electronic and paper-based information, and includes regulatory defense and the payment of regulatory fines or penalties.
- Patient Notification & Credit Monitoring Costs Insurance – Coverage includes all necessary legal, public relations, electronic forensics, advertising and postage expenses incurred by the insured to notify third parties of a breach of information, as may be required in New Jersey. In addition, one year of credit monitoring is included.
- Data Recovery Costs Insurance – Provides reimbursement for reasonable and necessary amounts required to recover and/or replace data that is compromised, damaged, lost, erased or corrupted, including software costs.
