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US healthcare marketplaces shared citizenship and race data with ad tech giants

"Sensitive patient data, including citizenship status and racial identifiers, has been inadvertently disclosed to ad tech companies via US healthcare marketplaces, exposing millions of Americans to potential identity theft and exacerbating long-standing concerns about data protection in the healthcare industry. The breach occurred through a combination of lax data sharing policies and inadequate consent mechanisms. This incident underscores the need for stricter data governance in healthcare. AI-assisted, human-reviewed."

Almost all of the 20 U.S. state government-run health insurance marketplaces shared residents’ application information with advertising and tech giants, including Google, LinkedIn, Meta, and Snap, according to a new investigation by Bloomberg. The report drives home the privacy problems created by pixel-sized trackers, which allow website owners to collect information about their visitors, often for web analytics and identifying bugs. A common tool in digital advertising, these trackers also allow the collection of personal information if misconfigured and placed on websites that contain sensitive content, such as healthcare data.

What was shared

Per Bloomberg, New York’s health insurance exchange shared information with several tech companies about a person’s application, including whether they provided details about whether they have incarcerated family members. The health insurance exchange for Washington, D.C. also asked residents about the person’s sex and race, which TikTok’s pixel tracker attempted to redact. Some races were masked and others were not, the publication reported. A spokesperson for the Washington, D.C. exchange told Bloomberg that residents’ email address, phone number, and country identifiers were also shared with TikTok.

How it happened

The breach occurred through a combination of lax data sharing policies and inadequate consent mechanisms. Pixel trackers — small pieces of code embedded in websites — are typically used for web analytics and debugging. When placed on government healthcare sites, they can inadvertently transmit sensitive personal information to third-party ad platforms. This is not a new problem, and has previously caught out telehealth startups and healthcare giants alike. Several companies and healthcare giants have had to notify millions that they inadvertently collected and shared their health information with tech giants, whose profits are derived from using consumer data for advertising.

What has changed

Washington, D.C. paused its rollout of the TikTok tracker, and Virginia removed the Meta tracker from its website after Bloomberg found it was sharing residents’ ZIP codes with the tech giant. The publication noted that more than seven million Americans purchased health insurance for this year through a state health insurance exchange. Bloomberg’s investigation shows that these pixel trackers can affect large swathes of the population when placed on government websites.

Bottom line

This incident underscores the need for stricter data governance in healthcare. If you are a resident of a state with a government-run health insurance marketplace, you may want to review your privacy settings and consider using ad-blockers or tracker-blocking browser extensions when accessing these sites. The exposure of citizenship status, racial identifiers, and incarceration history to ad tech firms creates risks of identity theft and discrimination that go beyond typical data breaches.

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