Strengthening cybersecurity in healthcare: Key strategies for data protection

Cybersecurity is crucial in today's healthcare landscape. Our latest article dives into essential strategies to protect patient data and ensure operational integrity. Learn about human error, social engineering, proactive vs. reactive measures, and the ROI of cybersecurity investments.

Cybersecurity has become a critical priority in today's digitized healthcare industry. However, the reliance on digital systems like electronic health records (EHRs), telehealth platforms, and network-connected medical devices comes with significant risks. Cyberattacks, including ransomware, phishing, and data breaches, jeopardize sensitive patient data and threaten healthcare providers' operational integrity. Alarmingly, the U.S. healthcare industry faces an average data breach cost of $9.36 million, significantly higher than global averages, according to IBM’s 2024 Cost of Data Breach Report. Despite these numbers, many organizations remain unprepared, with threat actors operating undetected for an average of 194 days before breaches are identified. 

The weakest link: Human error and social engineering 

While healthcare organizations invest heavily in IT defenses, the weakest link often lies with the users. Social engineering and compromised credentials are among the top drivers of data breaches.  

  • Social Engineering: Going beyond phishing, social engineering includes tactics like fake phone calls, malicious texting, baiting with infected USB devices, or even physical visits to facilities to manipulate employees into granting unauthorized access. Social engineering is responsible for millions of compromised records annually.
  • Business Email Compromise (BEC): BEC involves attackers taking control of email accounts to launch further attacks or intercept sensitive communications. BEC often originates from phishing or compromised credentials and has a significant operational and financial impact.
To combat these threats, healthcare organizations must train employees to recognize and respond to these tactics. Regular testing, such as simulated and targeted phishing assessments, can help identify vulnerabilities and improve your security awareness and training program.

Proactive vs. reactive cybersecurity measures

Cybersecurity strategies can generally be divided into two categories: proactive and reactive

Proactive measures 

Proactive measures focus on preventing cyberattacks before they happen. Examples include: 

  1. Risk assessments and audits: Comprehensive assessments identify gaps in IT systems, configurations, and employee behavior.
  2. Cloud Platform security assessments: Cloud platforms such as Microsoft 365 are widely used in healthcare, these assessments help ensure that default permissive settings are properly secured.
  3. Penetration testing: Simulated attacks test an organization's defenses, revealing vulnerabilities that must be addressed.
  4. Social engineering testing: Tests evaluate how employees respond to phishing attempts, fake phone calls, or other manipulative tactics.
  5. Employee training: Cybersecurity awareness training helps reduce human error, one of the leading causes of breaches.

Reactive measures 

Reactive measures address incidents after they occur. While organizations should focus on prevention, robust response plans are essential for minimizing damage. Reactive measures include: 

  1. Digital forensics: Investigates breaches to determine their scope, impact, and origin.
  2. Incident response and recovery: Mitigates the effects of an attack, restoring systems and securing data.
  3. Litigation support: Addresses legal consequences, including regulatory fines and lawsuits.

Organizations that neglect proactive measures often find themselves relying heavily on reactive services, which are costly and disruptive.

Building a cybersecurity roadmap: Where to start

For healthcare organizations new to cybersecurity, developing a roadmap is essential. Here's a step-by-step guide:

Baseline security measures 

Start with the basics: 

  • Conduct high-level security assessments
  • Implement social engineering training
  • Secure cloud platforms like Microsoft 365 with proper configuration settings

Intermediate security measures 

As your organization matures, build on the foundation: 

  • Perform penetration testing
  • Conduct vulnerability scans to identify weak points in IT systems
  • Test physical security, such as whether unauthorized personnel can access server rooms

Advanced security measures 

For mature organizations, focus on sophisticated strategies: 

  • Invest in advanced threat intelligence tools
  • Perform annual risk assessments and audits
  • Develop contingency plans for maintaining operations during a cyberattack

The key is to start where your organization is and progressively enhance your defenses. Implementing advanced measures without addressing foundational weaknesses can lead to ineffective results.

Regulatory compliance and accountability 

The healthcare industry operates under strict regulations like HIPAA, which sets standards for protecting patient data. Compliance is not just about checking boxes, it's about actively managing cybersecurity risks. 

Proposed updates to HIPAA Security Rules, introduced in March 2023, emphasize accountability across healthcare providers, health plans, and business associates. These updates include requirements for: 

  • Annual cybersecurity risk analyses: Ensuring continuous monitoring and improvement 
  • Enhanced business associate agreements: Strengthen partnerships and clarify breach notification responsibilities 
  • Contingency planning: Preparing for operational continuity during and after attacks 

Organizations must view compliance as a minimum standard and go beyond it by embedding cybersecurity into every level of operations. 

The ROI of cybersecurity investments 

Investing in cybersecurity is not just about avoiding penalties, it also saves money in the long term. IBM’s 2024 Cost of a Data Breach Report found that organizations with strong defenses experience lower breach costs and recover faster. For example: 

  • Employee training reduces the cost of a data breach by an average of $250,000 by reducing phishing incidents. 
  • Incident response plans minimize downtime and operational disruption. 
  • Encryption limits the impact of stolen data, reducing overall liability. 

Cybersecurity is not insurance; it's a business enabler that protects operations, patient trust, and financial stability. 

Accountability starts with leadership

Leadership plays a vital role in shaping an organization's cybersecurity posture. CEOs, CFOs, and other executives must recognize that cybersecurity is not just an IT issue, it's a business issue. Key actions leaders should take include: 

  • Conducting independent assessments: Involving external experts to validate IT team efforts and identify overlooked gaps.
  • Building a culture of security: Promoting cybersecurity as everyone's responsibility, from frontline employees to executives.
  • Implementing accountability for third-party vendors: Hold business associates to the same high standards and conduct regular audits of vendor practices.

With government oversight increasing and cyberattacks becoming more sophisticated, healthcare leaders can no longer afford to remain uninvolved in cybersecurity planning.

The bottom line: Preparing "when," not "if" 

In healthcare, cyberattacks are not a matter of if but when. Organizations can reduce vulnerabilities, protect patient data, and better ensure operational integrity by adopting a proactive approach to cybersecurity. From training employees to performing risk assessments and securing cloud platforms like Microsoft 365, every step taken now will pay dividends in the future. 

Healthcare leaders must actively mitigate these very real risks. This involves more than surface-level assurances from IT teams; it requires strategic planning, independent assessments, and proactive security measures. With proposed updates to HIPAA Security Rules and increasing government oversight, the time to prioritize cybersecurity is now. 

For a deeper dive watch our webinar,  "Strengthening Cybersecurity in Healthcare: Strategies for Protecting Data and Ensuring Operational Integrity".

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Ali Khraibani

Ali Khraibani

Senior Manager, Cyber & Tech Risk

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This has been prepared for information purposes and general guidance only and does not constitute legal or professional advice. You should not act upon the information contained in this publication without obtaining specific professional advice. No representation or warranty (express or implied) is made as to the accuracy or completeness of the information contained in this publication, and CohnReznick LLP, its partners, employees and agents accept no liability, and disclaim all responsibility, for the consequences of you or anyone else acting, or refraining to act, in reliance on the information contained in this publication or for any decision based on it.