Attorney General settles with Providence for data breach

PORTLAND, Ore. (AP) - Providence Health System and state Attorney General Hardy Meyers filed a settlement agreement Tuesday over a data breach at the hospital.

In December 2005, backup tapes and computer disks with personal information on 365,000 patients were stolen from a Providence employee's car. The data was not encrypted.

The attorney general's office said it had no confirmed reports of identity theft associated with the case.

As part of the settlement, Providence will continue to provide free credit monitoring services for patients who may have been affected. It will also provide credit restoration to any patients who become a victim of identity theft. The company must increase its security programs and also pay patients for any direct financial losses related to the breach.

The settlement brings the nine-month investigation to an end. Hardy's office said the case is the largest data breach ever reported in Oregon.

(Copyright 2006 by The Associated Press. All Rights Reserved.)