Form: Cost-of-Breach DisclosureSource: IBM Cost of a Data BreachFiled: 28 Apr 2026
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Filing AL-20211029-nhs-managementHHS OCR Breach Register, Alabama

Breach filing

Archived

NHS Management, LLC: 120,712 individuals, Oct 2021.

NHS Management, LLC reported a breach of unsecured protected health information to the HHS Office for Civil Rights on 29 October 2021. The filing records the organisation as a business associate in Alabama and lists 120,712 individuals affected, which makes it the 9th largest of the 98 Alabama filings on the register and the 81st largest of the 715 filings submitted nationally in 2021. Among the 8 Alabama filings made in 2021 it ranks 1st.

Individuals affected

120,712

As reported to HHS

Modelled cost (IBM 2025)

$19.3M

Upper bound, method shown

Rank in AL

9th

of 98 Alabama filings

Rank in 2021

81st

of 715 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
120,712
Breach submission date
29 October 2021
Submission year
2021
Type of breach
Hacking/IT Incident
Location of breached information
Network Server
Business associate present
Yes
Portal status
listed in the HHS OCR breach portal archive
Rank in Alabama by size
9th of 98
Rank in 2021 nationally
81st of 715
Alabama median filing
5,000 individuals
Register id (derived)
AL-20211029-nhs-management

Section F.2 / In context

Where this filing sits in Alabama and in 2021

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 60 of the 98 Alabama filings (61%) and on 76% of all filings submitted in 2021. Network Server is the most common location in the state, appearing on 54% of Alabama filings.

A business associate is recorded as present on the filing, as it is on 29% of Alabama filings. At 120,712 individuals the breach is 24 times the Alabama median filing of 5,000 and 30 times the national median of 4,000 across all 7,884 filings. It is one of 801 filings of 100,000 or more individuals.

As of 28 August 2026 the case is listed in the HHS OCR breach portal archive. OCR's closing summary of the case is reproduced in full below.

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 120,712 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 $19.3M; the 2026 edition's $192 gives $23.2M. Both are modelled estimates with the method shown, not costs disclosed by NHS Management, 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.3 / OCR closing summary

The portal's archived description, in full

Written by the Office for Civil Rights when the case was closed and reproduced verbatim from the HHS export.

The business associate (BA), NHS Management, reported that it experienced a cyberattack that compromised the protected health information (PHI) of 120,712 individuals. The PHI involved included names, addresses, dates of birth, drivers' license numbers, Social Security numbers, claims information, diagnoses/conditions, lab results, medications, and other treatment information. The BA notified HHS, affected individuals, the media, and posted substitute breach notice on its website. In response to the breach, the BA implemented a variety of additional security measures to prevent a similar breach in the future, including requiring multi-factor authentication, implementing new firewall protections, revising disaster recovery and incident response procedures, implementing additional inbound email security tools, and adding dedicated ransomware protection. OCR provided technical assistance regarding the HIPAA Rules.

Section F.5 / Modelled cost

120,712 individuals through IBM's per-record figures

Modelled cost / method shown, not a disclosed cost

Upper bound

IBM 2025 customer PII, $160 per record

$19.3M

120,712 x $160

IBM 2026 customer PII, $192 per record

$23.2M

120,712 x $192

Method: individuals affected, as reported by NHS Management, 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 2021, topped up from other years where 2021 has too few. Filings of 10,000 or more link to their own page.

Covered entityTypeIndividualsSubmitted
Alabama Ophthalmology AssociatesOpenHealthcare Provider131,5768 Apr 2025
Acadia Health, LLC d/b/a Just Kids DentalHealthcare Provider129,46327 Sep 2023
Shelby Dermatology d.b.a Dermatologists of BirminghamHealthcare Provider86,4142 May 2025
Victory Health PartnersHealthcare Provider30,0002 Nov 2021
Southern Orthopaedic SurgeonsHealthcare Provider4,9835 Apr 2021

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 2026-08-28. 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 28 August 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-archive__2026-08-28.csv, export row 2868.

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.