Cyber Risks in Healthcare

-By Team Policy Era

The Invisible Intruders

India’s healthcare sector has embraced digital transformation with remarkable speed-EHRs (Electronic Health Records), telemedicine, e-pharmacies, and health apps have become the new norm. However, this digitization brings with it an increasing risk of cyberattacks, data breaches, and technological vulnerabilities. As patient data becomes a high-value target, it's crucial for healthcare providers, especially doctors and hospitals, to understand and mitigate cyber risks effectively.

1. Cyber Risks in Healthcare

India's healthcare industry faces a unique combination of digital vulnerabilities and low cybersecurity awareness. Some of the major cyber risks include:
 Data Breaches of Patient Records
Sensitive patient data, including medical history, test reports, prescriptions, and insurance information, are attractive targets for cybercriminals.
 Phishing and Email Scams
Medical staff often fall victim to phishing attacks, leading to the compromise of credentials and unauthorised access to healthcare databases.
 Ransomware Attacks
Hospitals are increasingly being targeted by ransomware attacks, where systems are locked until a ransom is paid. Delays in restoring services can impact patient care severely.
 Unsecured Medical Devices (IoMT)
Devices such as insulin pumps, pacemakers, and diagnostic equipment that are connected to the internet can be hacked and manipulated, posing a life-threatening risk to patients.
 Lack of Cyber Hygiene Practices
Many hospitals do not follow standard cybersecurity protocols such as regular updates, encrypted storage, and two-factor authentication, making them vulnerable.
 Insider Threats
Disgruntled employees or negligent staff can also lead to breaches, either accidentally or with malicious intent.
 Cloud Misconfigurations
As many healthcare providers shift to cloud platforms, misconfigured cloud storage can result in public access to sensitive data.
 Legal and Regulatory Non-compliance
Failure to comply with data protection norms (like the Digital Personal Data Protection Act, 2023) can lead to penalties and reputational damage.

2. Digital Indemnity Insurance for Doctors

As cyber risks rise, so does the potential liability of individual medical professionals. This is where Digital Indemnity Insurance plays a vital role.
 What Is It?
A specialised insurance product that protects doctors from legal claims arising from data breaches, technology failures, or cyber incidents.
 Key Coverages:
o Legal fees arising from claims of data misuse or exposure
o Notification costs to patients after a breach
o Reputation management expenses
o Coverage for teleconsultation-related issues
 Why It’s Needed:
o Growing telemedicine consultations post-COVID
o Direct storage of patient data on personal or clinical systems
o Risks of unauthorized prescriptions through hacked accounts
 Case Scenario: A doctor using a third-party app for prescriptions experiences a breach. The patient data leaked online results in a lawsuit. Digital indemnity insurance covers the legal and compensation costs.

3. Cyber Insurance for Medical Professionals

In addition to indemnity insurance, Cyber Insurance provides broader protection that covers institutions, clinics, and individuals operating in the digital healthcare space.
 What Does It Cover?
o First-party losses: Data recovery, business interruption, ransomware payments
o Third-party liabilities: Legal fees, court judgments and penalties
o Crisis management: PR consultancy, customer notification, credit monitoring services
o Network security failures: In the event of a firewall or software breach
 Who Needs It?
o Individual practitioners maintaining patient databases
o Clinics using telemedicine platforms
o Hospitals with a large networked IT infrastructure
o Diagnostic labs and pathologies operating online
 Challenges in Adoption:
o Low awareness among small clinics
o Lack of standard pricing models
o Misconception that EHR providers are solely liable
 Tip for Doctors:
Combine cyber insurance with professional indemnity policies for complete risk coverage.

4. Healthcare Cybersecurity Threats

The healthcare sector is not only a victim of cybercrime but also an increasingly high-priority target for organized attacks. Here’s a detailed look into prevailing cybersecurity threats:
 Advanced Persistent Threats (APTs)
Long-term targeted attacks are often initiated by state-sponsored or organised cybercrime groups.
 DDoS Attacks on Hospital Networks
Distributed Denial-of-Service attacks can crash hospital websites and emergency systems, crippling healthcare services temporarily.
 AI-Driven Cyber Threats
Hackers are now using AI to create more realistic phishing attacks and simulate human-like interactions to extract credentials.
 Mobile Health App Vulnerabilities
Weakly encrypted mHealth apps pose risks to both doctors and patients, especially when syncing with other devices.
 Unpatched Software Systems
Using outdated operating systems and software in labs and hospitals can open up vulnerabilities for easy exploitation.
 Third-Party Risks
Vendors like IT service providers or diagnostic equipment suppliers with weak cyber protocols can serve as backdoor entry points for attackers.
 Lack of Cyber Awareness Training
Most hospital staff and even senior doctors are not trained in identifying phishing links, secure browsing practices, or handling a data breach response.

5. The way Forward: Building a Cyber-Resilient Healthcare System

To ensure a cyber-secure future for Indian healthcare, both government and private players must join forces:
 Policy Interventions:
o Implementation of the Digital Information Security in Healthcare Act (DISHA) once finalised
o Mandating minimum cybersecurity standards for hospitals
o Including cyber insurance under Ayushman Bharat or similar schemes for small clinics
 Institutional Measures:
o Regular cybersecurity audits and vulnerability assessments
o Appointing Chief Information Security Officers (CISOs) in large hospitals
o Investing in advanced firewalls, intrusion detection systems, and endpoint security
 Training and Awareness:
o Cyber hygiene training for all hospital staff
o Awareness campaigns about phishing, malware, and suspicious activities
o Simulated breach drills
 Tech Adoption:
o Blockchain for secure patient records
o Zero-trust architecture for internal systems
o End-to-end encrypted communication platforms for telemedicine

Conclusion

With increasing digitisation, cyber risks in healthcare have become a matter of national concern in India. While doctors and hospitals strive to provide efficient care through technology, they must equally prioritise cybersecurity. Solutions like digital indemnity insurance and cyber insurance for medical professionals are no longer optional they are essential safeguards in today’s digital age. By proactively addressing healthcare cybersecurity threats, India can build a future where medical innovation thrives without compromising patient safety or data integrity.