CareCloud, a US-based healthcare technology company that provides electronic health record systems and billing services, has disclosed a cybersecurity incident involving unauthorized access to one of its environments that stores patient data, according to a filing with the US Securities and Exchange Commission.
The company reported that the incident occurred on March 16, when a threat actor gained access to a single electronic health record environment for a limited period. The affected system is one of six environments operated by CareCloud, and the company stated that the remaining systems were not impacted.
CareCloud stated that the unauthorized access lasted for several hours before it was identified and contained. The company reported that it restored the affected environment on the same day and believes that the attacker no longer has access to its systems.
According to the company, the compromised environment contains electronic health records used by healthcare providers. These systems typically store sensitive patient information, including medical histories, treatment records, and billing data. The company stated that it is continuing to assess whether any data was accessed or removed during the incident and has not confirmed the extent of exposure.
CareCloud reported that it notified law enforcement authorities and its cyber insurance provider following the discovery of the incident. The company also engaged external cybersecurity specialists to conduct a forensic investigation and assist in securing its systems.
The company described the incident as material due to the sensitivity of the data stored within the affected environment and the potential risks associated with unauthorized access. At the same time, CareCloud stated that the breach has not had a material impact on its operations or financial condition so far.
CareCloud provides software and services to more than 45,000 healthcare providers, including electronic health record platforms and revenue cycle management tools. The company stated that it is continuing to investigate the incident and will provide updates as more information becomes available.
