The New York Times reported on Americans' growing concern regarding commercial use of their personal health information, especially the use of re-identified prescription drugs information for marketing purposes.
The article points out correctly that the Recovery Act of 2009 (ARRA) included a few key changes to the present privacy regime, which would make it more difficult for pharmacies and data mining companies to use patient information for marketing or fundraising purposes. While the new law (and the upcoming applicable HHS regulations sanctioned by ARRA) will close a few loopholes in the current medical privacy regime, data mining companies like IMS Health and Verispan do not seem to be overly worried about these new developments:
The law won’t shut down the medical data mining industry, but there will be more restrictions on using private information without patients’ consent and penalties for civil violations will be increased. Government agencies are still writing new regulations called for in the law. <...>
IMS Health reported operating revenue of $1.05 billion in the first half of 2009, down 10.6 percent from the period a year earlier. [An IMS representative] said he did not expect growing awareness of privacy issues to affect the business.
The Times article also touches on a few other important areas of concern for privacy advocates: the effect of widespread adoption and use of electronic health records (EHR's) and personal health records (PHR's) on privacy and security of patients' protected health information.
Interestingly, the article notes that while "Microsoft and WebMD acknowledge that the privacy rules in the stimulus law apply to them," "Google says the law’s prohibitions do not apply to it, except for its duty to report any breaches of medical privacy." According to a Google spokeswoman, "Google is bound by the privacy policy that people agree to when they sign up." Right after the enactment of the Recovery Act, Google claimed that the additional privacy rules included in the ARRA did not apply to its PHR products. However, Google acknowledged the applicability of ARRA's data breach notification requirements a few months thereafter. This quote in the Times may reintroduce, if not underscore, Google's ambiguous attitude toward applicability of the new privacy and security rules.
"And You Thought a Prescription Was Private," The New York Times (August 9, 2009).
