UnitedHealth paid ransom after massive Change Healthcare cyberattack


The Russia-based cybercriminals who attacked a UnitedHealth Group-owned company in February did not walk away from the endeavor empty-handed. 

"A ransom was paid as part of the company's commitment to do all it could to protect patient data from disclosure," a UnitedHealth Group spokesperson confirmed with CBS News late Monday. 

The spokesperson did not disclose how much the health giant paid after the cyberattack, which shut down operations at hospitals and pharmacies for more than a week. Multiple media sources have reported that UnitedHealth paid $22 million in the form of bitcoin. 

"We know this attack has caused concern and been disruptive for consumers and providers and we are committed to doing everything possible to help and provide support to anyone who may need it," UnitedHealth CEO Andrew Witty said in a statement Monday.

UnitedHealth blamed the breach on a Russian ransomware gang known as ALPHV or BlackCat. The group itself claimed responsibility for the attack, alleging it stole more than six terabytes of data, including "sensitive" medical records, from Change Healthcare, which processes health insurance claims for patients who visited hospitals, medical centers or pharmacies.

The scale of the attack — Change Healthcare processes 15 billion transactions a year, according to the American Hospital Association —meant that even patients weren't customers of UnitedHealth were potentially affected. The attack has already cost UnitedHealth Group nearly $900 million, company officials said in reporting first-quarter earnings last week.

Ransomware attacks, which involve disabling a target's computer systems, have become increasingly common within the health care industry. The annual number of ransomware attacks against hospitals and other providers doubled from 2016 to 2021, according to a 2022 study published in JAMA Health Forum.

The Change Healthcare incident was "straight out an attack on the U.S. health system and designed to create maximum damage,"  Witty told analysts during an earnings call last week. Ultimately, the cyberattack is expected to cost UnitedHealth between $1.3 billion and $1.6 billion this year, the company projected in its earnings report.

Disclaimer: The copyright of this article belongs to the original author. Reposting this article is solely for the purpose of information dissemination and does not constitute any investment advice. If there is any infringement, please contact us immediately. We will make corrections or deletions as necessary. Thank you.


ALSO READ

Saudi Arabia jails cartoonist Mohammed al-Hazza for 23 years for insulting leadership, rights group says

Dubai — A Saudi artist has been sentenced to more than two decades in prison over political cartoons...

world | 2 hours ago

Rain may have helped form the first cells, kick-starting life as we know it

Billions of years of evolution have made modern cells incredibly complex. Inside cells are small com...

science | 2 hours ago

The Science Quiz: AI in science, from neurons to nodes

Questions: 1. The functioning of organic neurons is the model for artificial neural networks. In bio...

science | 2 hours ago

Today’s top tech news: Meta’s U.S. legal troubles; Intel and AMD team up; Apple’s new iPad mini

(This article is part of Today’s Cache, The Hindu’s newsletter on emerging themes at the intersectio...

technology | 2 hours ago

AI firm Perplexity offers a peek into a new financial analysis tool

AI company Perplexity revealed a work-in-progress finance-centric platform that would let users look...

technology | 2 hours ago

Apple iPhone 16 Pro Max and Samsung Galaxy S24 Ultra | Prices, specs, features compared

As the festival season rolls by, many shoppers in India are considering whether it’s time to take ad...

technology | 2 hours ago