Printing Error Puts Privacy at Risk for Thousands of Health Care Provider Customers

A "printing error" has left the privacy of up to 170,000 customers of Horizon Blue Cross Blue Shield of New Jersey at risk.

Horizon reported that its print vendor, Command Marketing Innovations (CMI), based in Garfield, N.J., discovered the error on Nov. 2, 2016, in which some members and providers received Explanation of Benefits (EOB) statements and Explanation of Payment (EOP) statements that included information intended for a different customer.

According to the announcement, "While no social security numbers, financial information, addresses or dates of birth were included on the statements, (the letters) may include member name, member ID number, claim number, date of service, limited description of services, service codes or provider/facility name."

The error was a result of a change in the printing process made by CMI, which affected only those EOBs and EOPs mailed on Oct. 31, Nov. 1 and Nov. 2.

Kevin McArdle, a spokesman for Horizon, said in an article posted by NJ.com that approximately 170,000 envelopes were mailed during that period, but it is unclear how many of them actually contained information about other customers.

Of course, when it comes to sensitive customer data, even one error is too many.

NJ.com interviewed Cheryl Vass, a Horizon customer in Clark, N.J., who commented, "The thing that worries me is I have got someone's name and health insurance number. I'm not going to do anything with it. But someone else has my name and card number. What are they going to do?"

Upon recognition of the error, the processing of EOBs and EOPs was immediately suspended, and Horizon continues to monitor member accounts for any fraudulent submissions of medical claims.

Horizon is in the process of mailing notifications of the error and newly corrected forms to any impacted members.

But this incident has surely been a blow to the health insurance giant — and maybe more so to CMI.