By Lucy Wyndham
The North Dakota Hospital Association (NDHA) recently launched Cyber Cover: a new cybersecurity initiative designed to provide local hospitals and other healthcare organizations with affordable cybersecurity protection. The initiative — which is a joint effort between the NDHA, insurance firm Marsh McLennan Agency, and cybersecurity company Critical Insight — aims to protect patient and healthcare data as cybersecurity attacks rise across the state. “We’re super happy with how it all turned out,” says Aaron Brennan, Health Benefits Trust Administrator at the NDHA. “From our research, we don’t think this initiative has been put together specifically for health care organizations anywhere across the country, so we give ourselves a few pats on the back.”
Affordable cybersecurity insurance and services
Under the initiative, NDHA members can purchase cyber insurance at a discounted price as long as they use Marsh McLennan Agency. It’s no secret that cyber coverage is wildly expensive these days. Prices can range anywhere from $10,000-$30,000 per year (although the exact amount depends on the coverage scale and various deductibles), according to Casey Holland, senior insurance and risk advisor for Marsh McLennan Agency. “Larger hospital networks can run up premiums in the six figures each year”, Holland also notes. Cyber Cover also gives healthcare providers a discount if they purchase cybersecurity services from Critical Insight. Although NDHA members get priority access to the initiative, it’s also on offer to other healthcare organizations (such as, small hospitals and assisted care facilities) in North Dakota.
“It’s also very difficult to find IT personnel in rural North Dakota, or convince someone to go and live in rural North Dakota. So, it’s super difficult to find staff…I think that the geographic makeup of our state does make it a bit more of a challenge”, adds Brennan. The high cost of cybersecurity only exacerbates this difficulty — which is why the Cyber Cover initiative is now so important and provides a much-needed service.
Cyberattacks and data breaches on the rise
Cyberattacks and data breaches are on the rise across the nation, and North Dakota is no exception. There’s now over 15 million cyberattacks per month on average against the state government — that’s up from five million in 2018. Healthcare breaches, in particular, also increased by 93% between 2018-2022, data from the NDHA reveals. The average cost is about $10.93 million for each organization affected per breach. More widely, North Dakota is the 51st highest state in the country in terms of numbers of people who’ve been hit by cyberattacks (97.5 attacks per 100,000 residents), the FBI’s 2023 Internet Crime Report reveals. In comparison, Alaska has the highest number of people who’ve experienced cyberattacks, with 319 people per 100,000 residents.
In fact, the Cyber Cover initiative was largely motivated by a recent serious data breach at Pembina County Memorial Hospital in 2023. Hackers gained access to the hospital system and personal information — which included names, addresses, Social Security numbers, medical information, and health insurance information — was left exposed. “It’s only a matter of time before these large-scale hackers begin to target more organizations in North Dakota”, says Brennan.
Complex cybersecurity in-demand as threats become more sophisticated
“Hospital cybersecurity is unique and increasingly complex due to the number of entry points an attack can come through”, Brennan went on to say. “The hospital’s internal network, wi-fi and medical devices can all be the start point for a hacker”. In one notable instance, a HVAC worker was able to hook their laptop up to the network of the hospital he was on a job in. This is how he gained access to off-limits private data. “The NDHA’s choice to create Cyber Cover is in the effort to prevent events like this and the breach at Pembina County Memorial Hospital from happening”, says Brennan. “We wanted to be proactive on our end”.
Once they take advantage of the Cyber Cover initiative, North Dakota healthcare organizations can benefit from the best in cybersecurity services designed to combat cyberthreats and prevent data breaches. Interested NDHA members and non-members alike are encouraged to contact the NDHA for more information on how to join the initiative.