Form: Cost-of-Breach DisclosureSource: IBM Cost of a Data BreachFiled: 28 Apr 2026
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Filing AL-20260731-aestoHHS OCR Breach Register, Alabama

Breach filing

Under investigation

Aesto, LLC: 9,540,683 individuals, Jul 2026.

Aesto, LLC reported a breach of unsecured protected health information to the HHS Office for Civil Rights on 31 July 2026. The filing records the organisation as a business associate in Alabama and lists 9,540,683 individuals affected, which makes it the 1st largest of the 100 Alabama filings on the register and the 2nd largest of the 478 filings submitted nationally in 2026. Among the 8 Alabama filings made in 2026 it ranks 1st.

Individuals affected

9,540,683

As reported to HHS

Modelled cost (IBM 2025)

$1.53B

Upper bound, method shown

Rank in AL

1st

of 100 Alabama filings

Rank in 2026

2nd

of 478 filings nationally

Section F.1 / The filing

As posted by HHS OCR

Every value below is the portal's own field for this filing, plus its rank within the register.

Covered entity type
Business Associate
Individuals affected
9,540,683
Breach submission date
31 July 2026
Submission year
2026
Type of breach
Hacking/IT Incident
Location of breached information
Network Server
Business associate present
Yes
Portal status
listed by HHS OCR under Cases Currently Under Investigation
Rank in Alabama by size
1st of 100
Rank in 2026 nationally
2nd of 478
Alabama median filing
5,280 individuals
Register id (derived)
AL-20260731-aesto

Section F.2 / In context

Where this filing sits in Alabama and in 2026

OCR classifies the incident as a hacking or IT incident, with the breached information held in a network server. Hacking/IT Incident is the type recorded on 62 of the 100 Alabama filings (62%) and on 86% of all filings submitted in 2026. Network Server is the most common location in the state, appearing on 55% of Alabama filings.

A business associate is recorded as present on the filing, as it is on 29% of Alabama filings. At 9,540,683 individuals the breach is 1,807 times the Alabama median filing of 5,280 and 2,385 times the national median of 4,000 across all 7,927 filings. It is one of 152 filings on the register of one million or more individuals.

As of 10 September 2026 the case is listed by HHS OCR under Cases Currently Under Investigation. OCR has not published a closing summary, so this page is limited to the fields on the filing itself; the archive entry that follows a closed investigation usually adds a short account of what was exposed and what the entity did afterwards.

Alabama's breach notification statute (Ala. Code 8-38-1 et seq.) requires notice to affected residents without unreasonable delay, no later than 45 days after determining a breach occurred. Its attorney general threshold: more than 1,000 Alabama residents. The HIPAA Breach Notification Rule ran alongside it: notice to affected individuals and to HHS without unreasonable delay and no later than 60 days after discovery, which is the clock that put this filing on the portal.

Multiplying 9,540,683 individuals by IBM's $160 customer-PII cost per record (Cost of a Data Breach 2025, the figure the site's calculator uses) gives a modelled $1.53B; the 2026 edition's $192 gives $1.83B. Both are modelled estimates with the method shown, not costs disclosed by Aesto, LLC. Because the filing is above the roughly 100,000-record range in which the per-record figure is reliable, the result is an upper bound, not an estimate: fixed costs are spread across far more records at this scale.

Section F.5 / Modelled cost

9,540,683 individuals through IBM's per-record figures

Modelled cost / method shown, not a disclosed cost

Upper bound

IBM 2025 customer PII, $160 per record

$1.53B

9,540,683 x $160

IBM 2026 customer PII, $192 per record

$1.83B

9,540,683 x $192

Method: individuals affected, as reported by Aesto, LLC to HHS, multiplied by IBM's customer-PII cost per record (Cost of a Data Breach 2025 Figure 6 and the 2026 edition). No cost has been disclosed by the entity for this filing; the figure is a planning estimate, not a fact about the breach. IBM's per-record figures come from mid-volume breaches and IBM cautions against applying them to breaches involving millions of records; the site's per-record page explains where the multiplication holds and where it breaks down.

Context: IBM's average cost of a healthcare breach is $6.64M in the 2026 report ($7.42M in 2025); the global average across all sectors was $4.44M in 2025.

Cost per record: method and limits / Healthcare breach cost, IBM 2026

Section F.6 / Notification clock

Alabama statute and the HIPAA rule

State notification statute

Alabama: Ala. Code 8-38-1 et seq.

Alabama Data Breach Notification Act of 2018

Notice to individuals
Without unreasonable delay, no later than 45 days after determining a breach occurred
Attorney general threshold
More than 1,000 Alabama residents (Within the same 45-day window)
Private right of action
No: Enforcement is exclusive to the Alabama Attorney General
Penalty
Civil penalties up to $5,000 per day, capped at $500,000 per breach, as an unlawful trade practice

The HIPAA Breach Notification Rule runs alongside the state statute: notice to affected individuals and to HHS without unreasonable delay and no later than 60 days after discovery.

Section F.7 / Peer filings

Alabama filings closest in size

Neighbours by size rank among Alabama filings in 2026, topped up from other years where 2026 has too few. Filings of 10,000 or more link to their own page.

Covered entityTypeIndividualsSubmitted
Sutter Medical FoundationHealthcare Provider943,43417 Nov 2011
Upstream RollCo, LLCHealthcare Provider748,67822 Apr 2023
Cardiovascular AssociatesHealthcare Provider433,3483 Feb 2023
Heart South Cardiovascular GroupOpenHealthcare Provider46,6666 Apr 2026
Jefferson-Blount-St. Clair Mental Health AuthorityOpenHealthcare Provider30,43423 Jan 2026

Index / Companion schedules

Provenance

Source: U.S. Department of Health and Human Services, Office for Civil Rights, Breach Portal (breaches affecting 500 or more individuals), retrieved 2026-09-10. Public domain. Individuals affected and dates as reported by the covered entity.

Portal: ocrportal.hhs.gov breach report. Statutory basis: HITECH Act section 13402(e)(4): the Secretary must post a list of breaches of unsecured protected health information affecting 500 or more individuals. Breaches affecting fewer than 500 individuals are reported to OCR annually and are not posted, so they are not on this register. Status wording follows the portal's two tabs ("Cases Currently Under Investigation" and "Archive") as of 10 September 2026; a filing moves to the archive when OCR closes the case. Modelled costs on this site are a method applied to the reported count, using IBM Cost of a Data Breach per-record figures, and are never a cost disclosed by the entity. This row: hhs-breach-under-investigation__2026-09-10.csv, export row 25.

Corrections: if you represent a listed entity and the portal row has been amended, email [email protected] with the portal entry and we will re-pull the export.