January 30, 2008 - 12:47pm
Press Release

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O’Toole Calls for Hearings and Investigation of Massive Data Loss by Horizon Blue Cross/Blue Shield

Senator Kevin O’Toole (R-40) responded today to published reports that a laptop containing the personal data of more than 300,000 customers of Horizon Blue Cross/Blue Shield of New Jersey was stolen earlier this month.  It was reported that the laptop was being taken home by an employee who regularly works with customer data outside of Horizon offices.

“We need to know why such a massive amount of customer data was left unprotected on a Horizon laptop,” said O’Toole.  “How many other Horizon laptops are out there, filled with unencrypted and easily retrievable customer data, just waiting to be lost or stolen?”

O’Toole noted that the stolen data, which includes names, addresses, and social security numbers, is exactly the type of information that criminals need to commit identity theft.

“More than 300,000 Horizon customers will now have to worry that criminals may be signing up for credit cards, taking out loans or committing other types of fraud in their names,” said O’Toole.  “This careless management of customer data by Horizon is irresponsible and perhaps bordering on criminal negligence.”

Horizon has responded to the theft by saying that security procedures meant to prevent the theft of company laptops and confidential data apparently were not followed in this instance.

“Senate President Codey must schedule hearings to investigate the cavalier way in which Horizon manages the personal information of its 3.3 million customers,” added O’Toole.  “I also believe the Office of Attorney General should investigate whether there was a breach of any statutory privacy protections expected by Horizon customers.”

BSCHNURE can be reached via email at bschnure@njleg.org.