May 24, 2012

Mind Your PHI - Even in the Trash

A Greensboro urgent care center recently agreed to pay $50,000 to settle a case filed by the N.C. attorney general after the center’s discarded patient records for more than 750 individuals were discovered in a Dumpster, complete with individuals’ names, Social Security numbers, birth dates, insurance account numbers and PHI. The center had hired a contractor to destroy the records. The attorney general brought the action under the State’s Identity Theft Protection Act. The act requires businesses to adopt formal policies and procedures for secure disposal of records containing personal information and to take steps to ensure that any contractor hired to destroy such records is reputable and competent. This case highlights the value of investing time and resources in secure record destruction and due diligence of record disposal contractors, which would likely cost much less than the monetary penalties a health care provider faces for illegal dumping of patient records.

© 2012 Poyner Spruill LLP. All rights reserved.

About the Author

Partner

Pam represents businesses and professionals in administrative and civil litigation and appeals pertaining to a wide variety of regulatory compliance issues and professional licensure, as well as rulemaking proceedings before the North Carolina Rules Review Commission. Pam’s health care practice focuses on certificate of need (CON) litigation and appeals; regulatory compliance and professional licensure matters; and matters involving compliance with HIPAA privacy and security rules, the HITECH Act, and other privacy laws. She has assisted both covered entities and business associates...

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