All Tennessee BlueCross stored data now secure

Friday, July 22, 2011, Vol. 35, No. 29

CHATTANOOGA (AP) — BlueCross BlueShield of Tennessee says it has secured all its stored electronic records and there is no indication any customer information on computer hard drives stolen in October 2009 has been misused.

A statement Thursday said the state's largest health insurer has completed a $6 million project that spokeswoman Mary Danielson said makes it possibly the first large company and first health insurer to encrypt all stored data.

The insurer's vice president of technology, Michael Lawley, said Chattanooga-based Blue Cross Blue Shield has also adopted stricter security policies that should make customers rest easier about their privacy being protected.

Fifty-seven hard drives containing information on about 1 million customers were stolen in Chattanooga, and BlueCross BlueShield provided free credit monitoring to members who were identified at risk of identity theft.