Security breach leads to major information leak

Customers’ sensitive personal medical information and credit card details were accidentally leaked by WellPoint, one of the largest commercial health insurers in the USA.

The security breach occurred when an outside vendor upgraded an application tracker on WellPoint’s website.  Once the upgrade was complete, WellPoint customers found that they could accidentally access other customer’s personal information.  A customer also brought a lawsuit against the company in March 2010 for this breach of privacy.

Not surprisingly, WellPoint’s share price fell substantially when this news broke, although a spokesperson said that the security breach was fixed within twelve hours.

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