Form: Cost-of-Breach DisclosureSource: IBM Cost of a Data BreachFiled: 28 Apr 2026
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Filing CA-20250606-episourceHHS OCR Breach Register, California

Breach filing

Under investigation

Episource, LLC: 6,725,572 individuals, Jun 2025.

Episource, LLC reported a breach of unsecured protected health information to the HHS Office for Civil Rights on 6 June 2025. The filing records the organisation as a business associate in California and lists 6,725,572 individuals affected, which makes it the 3rd largest of the 776 California filings on the register and the 3rd largest of the 798 filings submitted nationally in 2025. Among the 76 California filings made in 2025 it ranks 1st.

Individuals affected

6,725,572

As reported to HHS

Modelled cost (IBM 2025)

$1.08B

Upper bound, method shown

Rank in CA

3rd

of 776 California filings

Rank in 2025

3rd

of 798 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
6,725,572
Breach submission date
6 June 2025
Submission year
2025
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 California by size
3rd of 776
Rank in 2025 nationally
3rd of 798
California median filing
3,553 individuals
Register id (derived)
CA-20250606-episource

Section F.2 / In context

Where this filing sits in California and in 2025

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 398 of the 776 California filings (51%) and on 81% of all filings submitted in 2025. Network Server appears on 43% of California filings.

A business associate is recorded as present on the filing, as it is on 33% of California filings. At 6,725,572 individuals the breach is 1,893 times the California median filing of 3,553 and 1,681 times the national median of 4,000 across all 7,884 filings. It is one of 149 filings on the register of one million or more individuals.

As of 28 August 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.

California's breach notification statute (Cal. Civ. Code 1798.82) requires notice to affected residents within 30 calendar days of discovery (effective 1 January 2026, SB 446). Its attorney general threshold: more than 500 California 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 6,725,572 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 $1.08B; the 2026 edition's $192 gives $1.29B. Both are modelled estimates with the method shown, not costs disclosed by Episource, 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

6,725,572 individuals through IBM's per-record figures

Modelled cost / method shown, not a disclosed cost

Upper bound

IBM 2025 customer PII, $160 per record

$1.08B

6,725,572 x $160

IBM 2026 customer PII, $192 per record

$1.29B

6,725,572 x $192

Method: individuals affected, as reported by Episource, 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

California statute and the HIPAA rule

State notification statute

California: Cal. Civ. Code 1798.82

Notice to individuals
Within 30 calendar days of discovery (effective 1 January 2026, SB 446)
Attorney general threshold
More than 500 California residents (Within 15 calendar days after notifying affected consumers)
Private right of action
Yes: Under CCPA Civ. Code 1798.150 for breaches from failure to maintain reasonable security; $107-$799 per consumer per incident (CPI-adjusted from $100-$750, effective Jan 2025)
Penalty
CCPA civil penalties of $2,663 per violation, $7,988 per intentional violation (CPI-adjusted, effective Jan 2025); CCPA private right of action for security-failure breaches

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

California filings closest in size

Neighbours by size rank among California filings in 2025, topped up from other years where 2025 has too few. Filings of 10,000 or more link to their own page.

Covered entityTypeIndividualsSubmitted
Kaiser Foundation Health Plan, Inc.Health Plan13,400,00012 Apr 2024
Delta Dental of CaliforniaHealth Plan7,056,1895 Sep 2023
Blue Shield of CaliforniaBusiness Associate4,700,0009 Apr 2025
University of California, Los Angeles HealthHealthcare Provider4,500,00017 Jul 2015
PIH Health, Inc.OpenHealthcare Provider2,947,26431 Jan 2025

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-under-investigation__2026-08-28.csv, export row 523.

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.