Healthcare Legal News - June 21, 2012 • Volume 2, Number 5


In This Issue:

- Self-Insurance Sham?

One way that employers seek to control health plan costs is by self-insuring the plan. By self-insuring, an employer pays only the cost of claims plus an administrative fee to a third party administrator. An employer can insure against the risk of catastrophic claims by purchasing stop loss insurance. An added benefit is that self-insured plans are exempt from most State insurance laws, such as laws mandating that certain benefits be covered. This gives an employer with a self-insured plan more flexibility to design the health plan to control costs and meet the needs of its employees. Although traditionally only large employers have self-insured their health plans, news reports indicate that more small employers may be considering the self-funding alternative.

- Healthcare Information Technology News: If The Office Of Civil Rights Doesn’t Get You, The FTC Will: The FTC Charges a Debt Collection Firm and an Auto Dealership with Data Privacy Violations for Exposing Private Information through Peer-to-Peer File Sharing Networks -

In a June 7 press release, the Federal Trade Commission (FTC) announced two proposed consent orders – one against a debt collection firm and the other against an auto dealership – for violations involving the public disclosure of private consumer information, including Social Security numbers. In both instances, the data breaches occurred because peer-to-peer (P2P) file sharing software was installed on company computers, which made data on a person’s computer available to everyone else connected to that P2P network.

- To Be BYOD Or Not To Be BYOD: Is A “Bring Your Own Device” Policy Right For Your Organization?

For years, many healthcare organizations have opted to purchase mobile devices for their employees. But due to the rapid changes in the mobile market and the negative feedback from employees, many healthcare organizations have decided to permit their employees to use their own mobile devices for work purposes. However, is this policy appropriate for your organization?

Please see full newsletter below for more information.

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DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

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