Tennessee: No evidence stolen personal information being used, BlueCross says

NASHVILLE - No identity theft or credit card fraud has been found stemming from the October theft of 57 computer hard drives containing BlueCross customers' personal information, a company official told state lawmakers today.

"No sir," Clay Phillips, BlueCross' director and associate general counsel for state affairs, told Sen. Ken Yager, R-Harriman. "We monitor that daily."

Mr. Phillips said the Chattanooga-based insurer has had a "couple" of notifications that members' company-issued identification number were "exposed." But he emphasized that BlueCross officials tracked the cases down and were able to "determine that none of it is the result of this exposure."

BlueCross' update to Senate State and Local Government Committee members is the latest action the company has taken following the theft of the computer hard drives from an abandoned BlueCross training center at the Eastgate Center in Chattanooga.

The company has spent more than $7 million to identify the scope of what was stolen and to notify those affected, officials have previously said. Millions of dollars more are likely to be spent.

"The risk of exposure (to customers) is actually very small," Mr. Phillips said in response to another lawmaker's question. "As you can see from how long it's actually taking us using 800 employees to get at this data, it's very difficult to 'mine' data like this."

Asked whether there were any suspects, Mr. Phillips said he could not publicly say.