The latest threat of identity theft might not come from retail stores or big banks, but your doctor’s office or local hospital.

Criminals are stealing patient records to file fake insurance claims, obtain prescription medication, or sell Social Security numbers. Just this summer, Chinese hackers seized the personal information of 4.5 million patients at a Tennessee-based hospital network. And federal officials disclosed Thursday that an intruder managed to install malicious software on HealthCare.gov, the government’s health insurance marketplace.

These and other recent incidents reveal the growing market for patient data and perilous gaps within the health care industry.

Demand for health records is high. The FBI estimates one goes for $50 on the black market, much more than the few dollars often required for credit card numbers. Ponemon Institute, a research center that examines data protections, says breaches cost the industry up to $5.6 billion a year.

Stolen health care data can lead not only to financial loss but also to inaccurate medical records and, thus, misdiagnosis.

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September 6, 2014 by Jessica Meyers, Boston Globe