Cyberattack That Shook American Healthcare in 2024 | Millennial Money Minds

what we learned from the Cyber attack on change Healthcare you wake up one morning head to the hospital for a routine checkup and find chaos doctors can't access your records pharmacies can't fill prescriptions and nobody's getting paid sounds like a nightmare right well in 2024 this nightmare became reality welcome back to Millennial money mindes get ready guys because we're about to dive into the Cyber attack that nearly flatlined the American Healthcare System the chain Healthcare Cyber attack of 2024 but how bad could one Cyber attack really be let's set the scene it's early 2024 and change Healthcare a company you've probably never heard of gets hit by a ransomware attack no big deal right wrong this seemingly obscure company processes a mind-boggling 15 billion Healthcare claims annually that's billion with a B friends we're talking about a company that touches one in every three patient record Recs in the US suddenly this isn't just a corporate headache it's a full-blown Health Care crisis so what exactly happened well imagine you're a doctor and overnight you lose the ability to process insurance claims verify benefits or even get paid for your services that's exactly what thousands of healthcare providers faced it was like someone hit a giant off switch for the financial side of healthcare the numbers are staggering according to an American Medical Association survey 36% of practices had their claims payment suspended 32% couldn't even submit claims a whopping 77% reported service disruptions but here's where it gets really personal 55% of healthcare providers had to dip into their own Pockets to cover expenses imagine a neurosurgeon performing brain surgery by day and flipping through their personal checkbook by night it's not exactly the Glamorous doctor life we see on TV is it now let's talk about the elephant in the room how did this happen in 2024 weren't we supposed to have flying cars and robot doctors by now well it turns out that the healthcare industry despite dealing with our most sensitive data has some serious catching up to do in the cyber security department the irony is hard to ignore an industry that's on The Cutting Edge of medical technology is lagging behind when it comes to protecting that very technology but before we start pointing fingers let's remember that this isn't just about one company dropping the ball this attack exposed a systemic vulnerability in our Healthcare infrastructure it's like finding out that the foundation of your house is made of gram crackers it might look okay on the surface but one good storm and the whole thing crumbles so what can we learn from this digital disaster here are a few key takeaways number one size matters but not in a good way change healthcare's massive scale made it an irresistible Target for cyber criminals it's the digital equivalent of a bank heist why rob a smalltown credit union when you can hit Fort Knox this too big to fail scenario created a single point of vulnerability that when breached cascaded through the entire Health Care System number two diversify diversify diversify putting all your eggs in one basket is risky but putting all your medical data in one digital vault is catastrophic Healthcare Providers need to spread their Risk by using multiple systems and vendors it's like cross trining for your it infrastructure if one muscle fails the others can pick up the slack number three Cash is King when the digital world crumbles Cold Hard Cash becomes a Lifeline healthcare providers who had emergency funds weathered the storm better than those living paycheck to paycheck it's time to treat cyber security like a natural disaster have a financial emergency plan ready the importance of a financial emergency plan can't be overstated it's time to treat cyber security like a natural disaster prepare for the worst and hope for the best number four cyber security is everyone's problem from the IT department to the boardroom from nurses to CEOs everyone needs to be on high alert this isn't just about protecting data it's about safeguarding lives we need a culture shift where cyber security is as ingrained in healthcare as washing hands a breach isn't just a technical failure it's a breach of trust that can have life or death consequences number five transparency saves lives in a crisis clear communication can be the difference between chaos and calm many criticized change healthcare's handling of the attack arguing that more openness could have helped providers prepare and respond better in healthcare where every second counts transparency isn't just good PR it's a matter of life and death we don't need to revert to paper records but it's time to rethink our Healthcare Tech structure the change Healthcare attack highlighted how one week link can shake the system could we soon see hospitals with in-house cyber security teams or IT classes in Med schools share your thoughts in the comments and if you've exper exp erience this chaos firsthand your insights are invaluable remember in cyber security it's not if but when stay secure and subscribe for more [Music]