Form: Cost-of-Breach DisclosureSource: IBM Cost of a Data BreachFiled: 28 Apr 2026
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Filing NC-20231221-southeastern-orthopaedic-specialists-paHHS OCR Breach Register, North Carolina

Breach filing

Archived

Southeastern Orthopaedic Specialists, PA: 35,533 individuals, Dec 2023.

Southeastern Orthopaedic Specialists, PA reported a breach of unsecured protected health information to the HHS Office for Civil Rights on 21 December 2023. The filing records the organisation as a healthcare provider in North Carolina and lists 35,533 individuals affected, which makes it the 41st largest of the 207 North Carolina filings on the register and the 231st largest of the 746 filings submitted nationally in 2023. Among the 15 North Carolina filings made in 2023 it ranks 5th.

Individuals affected

35,533

As reported to HHS

Modelled cost (IBM 2025)

$5.69M

Method shown, not disclosed

Rank in NC

41st

of 207 North Carolina filings

Rank in 2023

231st

of 746 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
Healthcare Provider
Individuals affected
35,533
Breach submission date
21 December 2023
Submission year
2023
Type of breach
Hacking/IT Incident
Location of breached information
Network Server
Business associate present
No
Portal status
listed in the HHS OCR breach portal archive
Rank in North Carolina by size
41st of 207
Rank in 2023 nationally
231st of 746
North Carolina median filing
3,679 individuals
Register id (derived)
NC-20231221-southeastern-orthopaedic-specialists-pa

Section F.2 / In context

Where this filing sits in North Carolina and in 2023

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 130 of the 207 North Carolina filings (63%) and on 82% of all filings submitted in 2023. Network Server appears on 45% of North Carolina filings.

No business associate is recorded on the filing; 26% of North Carolina filings do involve one. At 35,533 individuals the breach is 9.7 times the North Carolina median filing of 3,679 and 8.9 times the national median of 4,000 across all 7,884 filings. It sits in the 10,000 to 99,999 band, which holds 1,938 filings.

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.

North Carolina's breach notification statute (N.C. Gen. Stat. 75-65) requires notice to affected residents without unreasonable delay. Its attorney general threshold: all breaches (Consumer Protection Division of the AG). 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 35,533 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 $5.69M; the 2026 edition's $192 gives $6.82M. Both are modelled estimates with the method shown, not costs disclosed by Southeastern Orthopaedic Specialists, PA. For scale, IBM's 2026 average cost of a healthcare breach is $6.64M, so this filing models at 1.0 times the sector average.

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 covered entity (CE), Southeastern Orthopaedic Specialists, reported that it was the victim of a ransomware attack affecting the protected health information (PHI) of 35,533 individuals. The PHI involved included names, addresses, dates of birth, and treatment information. The CE notified HHS, affected individuals, and the media. Following the incident, the CE implemented technical safeguards, provided individuals with free credit monitoring, revised policies and procedures, and trained or retrained workforce members.

Section F.5 / Modelled cost

35,533 individuals through IBM's per-record figures

Modelled cost / method shown, not a disclosed cost

Modelled

IBM 2025 customer PII, $160 per record

$5.69M

35,533 x $160

IBM 2026 customer PII, $192 per record

$6.82M

35,533 x $192

Method: individuals affected, as reported by Southeastern Orthopaedic Specialists, PA 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

North Carolina statute and the HIPAA rule

State notification statute

North Carolina: N.C. Gen. Stat. 75-65

Identity Theft Protection Act

Notice to individuals
Without unreasonable delay
Attorney general threshold
All breaches (Consumer Protection Division of the AG) (Concurrent with consumer notification)
Private right of action
Yes: Civil action under N.C. Gen. Stat. 75-16 as an unfair and deceptive trade practice; treble damages
Penalty
Treble damages for affected individuals; AG may seek injunctive relief, penalties, and restitution

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

North Carolina filings closest in size

Neighbours by size rank among North Carolina filings in 2023, topped up from other years where 2023 has too few. Filings of 10,000 or more link to their own page.

Covered entityTypeIndividualsSubmitted
Robeson Health Care CorporationHealthcare Provider62,62721 Apr 2023
Jacksonville Children's and Multispecialty ClinicHealthcare Provider40,00017 Nov 2023
Wake Family Eye CareHealthcare Provider14,22114 Jul 2023
Intelligent Business SolutionsBusiness Associate11,59510 Feb 2023

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 1302.

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.