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Cyberattack Places Financial Strain on Long Island Providers


— April 8, 2024

The Change Healthcare cyberattack continues to place strain on providers and patients alike.


Life in the modern world is largely lived online. With that being the case, there are some areas of life that are particularly exposed to cyberattacks or other forms of digital breakdowns that can bring everything to a halt. A recent cyberattack on Change Healthcare has certainly brought that reality to the forefront, as healthcare providers of all kinds are struggling to complete even basic functions while feeling financial strain – and patients are suffering as a result.

There is always a range of concerns when a cyberattack occurs in any space, but particularly in healthcare. Some of the issues that can arise include the loss of privacy on the part of many patients and the healthcare system as a whole, along with financial strain to restore the system. In the case of this large-scale attack, however, the worries are more pressing and immediate in nature.

Specifically, the ability of various practices to properly bill for services has been compromised, meaning cash flows are impacted and it can be difficult to pay staff and keep the operation moving along. Not only that, but paper claims are ripe for fraud, so there are worries that other bad actors could get involved and make a bad situation even worse. The urgency to contain this attack and recover from it has been so pressing because it has made it difficult to operate for countless different facilities, and as a result, hard to offer patients the care they need.

Cyberattack Places Financial Strain on Long Island Providers
Photo by Karolina Grabowska from Pexels

If there is one place where the current healthcare system certainly can’t afford continue to feel strain, it’s in mental health. There already are not enough providers available to deal with the overwhelming demand, and now, as a result of this attack, things are getting worse in some places. For example, on Long Island, some mental health providers have been thrust into a terrible financial situation as a result of the attack and are having to furlough workers and miss making payroll payments.

That situation is obviously a terrible one for those employees who are affected, and it’s bad for the patients who now can’t be seen as expected, as well. The mental health support system across the country needs to get better in a hurry to help fight back against the ongoing crisis, but at the moment it’s only getting worse as a result of this crime and the damage it has done.

As the dust finally settles on this latest cyberattack incident and what it means for the healthcare industry as a whole, it’s clear that some changes are going to be needed to improve the system. While it might not be possible to create a system that is completely safe from attacks, adding as many safeguards and redundancies as possible will make it more difficult for bad actors to have such a profoundly negative impact on the health and careers of so many people across the industry.

Sources:

Long Island mental health providers feel financial pressure from cyberattack

HHS Office for Civil Rights Issues Letter and Opens Investigation of Change Healthcare Cyberattack

Change Healthcare Hack: What You Need to Know

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