BlueCross BlueShield has now spent $18.5 million resolving a 2009 hard drive heist, though the thieves’ motives in the unsolved data breach remain a mystery.
Crooks burgled 57 hard drives containing personal information on about 1 million customers, including audio and video recordings from customer service phone calls, according to the Chattanooga-based insurer.
A $1.5 million settlement with the U.S. Department of Health and Human Services is the latest blow in what could be the most expensive unsolved heist in Chattanooga history.
In addition to investigation and notification expenses, Tennessee’s largest insurer has shelled out about $7 million to encrypt its remaining customer data, said spokeswoman Mary Danielson.
“The main push is for the peace of mind of our members. That’s why we engaged in the additional expense of encryption,” Danielson said.