What is the reporting threshold for individual notifications in case of a data breach?

The reporting threshold for individual notifications in case of a data breach is 500 individuals affected. This figure is significant within the context of the Health Insurance Portability and Accountability Act (HIPAA) and related regulations, which establish that a data breach affecting 500 or more individuals requires covered entities to notify the Secretary of Health and Human Services (HHS) and affected individuals. The reporting depends on the scale of the breach because larger breaches may pose a higher risk to individual privacy and security and typically warrant more immediate action and transparency.

When a breach affects fewer than 500 individuals, the covered entity must still report the incident; however, they are allowed to maintain a log of such breaches and submit this information to HHS on an annual basis. Thus, while breaches involving fewer individuals are still important, the 500 individual threshold signifies a level of severity that necessitates prompt individual notifications and regulatory reporting. This threshold is designed to ensure that significant breaches are addressed swiftly, maximizing protection for the individuals involved.