In February 2014, an internal employee of Blue Cross and Blue Shield of Kansas City (Health Plan, MO) exploited access to payment-by-phone systems to steal credit card information from 2,546 members making premium payments. Two members reported unauthorized charges, prompting investigation. The employee had a prior felony identity theft conviction missed due to an inaccurate background check by contractor Verifications Inc. The CE terminated the employee, replaced the background check vendor, notified HHS, individuals, and media, and reported to the FBI and local law enforcement. OCR confirmed corrective actions. Location of breached information: Other.
Affected (this filing): 2,546