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Phia Group Data Security Incident Notification

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Published January 29th, 2026
Detected March 1st, 2026
Email

Summary

The Phia Group has notified the Washington Attorney General's office of a data security incident affecting approximately 2,802 residents. Personal information including clinical data, DOB, and SSN may have been compromised between July 8-9, 2024.

What changed

The Phia Group, a healthcare cost containment provider, has issued a data security incident notification to the Washington Attorney General's office regarding a breach that occurred between July 8-9, 2024. The incident potentially compromised personal information of approximately 2,802 Washington residents, including clinical information, date of birth, Social Security numbers, and health insurance details. While there is no evidence of fraudulent misuse, the company completed its investigation and identified affected individuals by December 1, 2025.

Phia began sending individual notifications to affected Washington residents on January 28-29, 2026, on behalf of data owners. These notifications provide resources for protection and offer complimentary identity protection services, including credit monitoring and identity theft recovery, to individuals whose Social Security numbers, driver's license numbers, or financial account numbers were involved. Regulated entities should review their own data security protocols and incident response plans in light of this notification.

What to do next

  1. Review data security incident response plans.
  2. Ensure compliance with state data breach notification statutes.
  3. Assess potential impact on protected health information (PHI) under HIPAA.

Source document (simplified)

Lauren Godfrey 322 N orth Shore Driv e, Building 1B, Suite 2 00 Pittsburgh, PA 15212 lgodf rey@constangy.com 973.462.9521 138400 73v1 January 29, 2026 VIA ONLINE SUBMISSION Attorney General Nick Brown Office of the Attorney General Consumer Protection Division 1125 Washington Street S E P.O. Box 40100 Olympia, WA 98504-0100 Tel: 206-464-6684 Re: Notice of Data Security Incident Dear Attorney General Nic k Brown: Constangy, Brooks, Smith & Prophete, LLP, represents The Phia Group (“Phia”) in conjunction with a data security inci dent discussed below. The Phia Group i s an experienced provid er of healthcare cost containment te chniques designed to control costs located in Canton, Massachusetts. The purpose of this letter is to notify you of the incident in accordance wit h Washington’s data breach notification statute, Wash. Rev. Code §§ 1 9.255.005 – 040. 1. Nature of the Security Inci dent On or ab out December 1, 2025, Phia determined that personal information belonging to its cl ients may have been involved in a data security incident we exper ienced. The inciden t began on July 9, 2024, when Phia discov ered s uspicious activity that te mporarily disrupted the ope ra bility of its computer network. Phia prompt ly took steps to secure the environment and beg an an i nvestigation to determine the nature and scope of the issue. Phia also be gan working t o r estore impacted systems as quickly as possible and engaged digit al forensi c specialist s to conduct an i nvestigation into what happened and whether personal information was accesse d or acquired w ithout a uthorization. The investigation determined that some data may have been acquired between J uly 8, 2024 and July 9, 2024. Phia then began a comprehensive and thoro ugh review of the data p otentially involve d to identify what personal information may have been impacted and to whom it belonged. Phia worked di ligently to identify the data owne rs assoc iated with the d ata that may have been involved in the incident. Thi s was a co mplicated p rocess that was completed on or a bout Decemb er

January 29, 2026 Page 2 138400 73v1 1, 2025. Phia sent letters to the re spective data owners on December 4, 2025, providing them with information about how to access to their list of in dividuals whose data was ide ntified in the investigation. P hia is sendi ng indivi dual notifications on behalf o f data ow ners who opt i n to P hia’s notification process. Phia will update this notice as additiona l residents are notified, if any. Please note that we have no eviden ce of fraudulent misuse, or attempted misuse, of the potentially impacted information. 2. Numbe r of Res idents Affected The incident involved personal in formation for approxima tely 2,802 Washington residents. The personal information involved in the incid ent varies by individual, but may include the following for a ffected Washington residents: Clinical Information, Date of Birth, Doctor's Name, Drive r License or State ID Num ber, Health Insurance Account Member Number, Health I nsurance Group Number, Medical Diagnosis Information, Medical Record Number (MRN), Me dical Treatment/Procedure Information, Medicare Number, Patient Account Number (PAN), S ocial Security Number, and Treatme nt Location. 3. Notification to Affected In dividuals On January 28 and 29, 2026, Ph ia notified approximately 2,802 Washington re sidents within the potentially affected populat ion, via USPS First-C lass Mail on behalf o f th e data owners on t he attached list. The notification letter provides r esources and steps indiv iduals can take to help protect th eir in formation. The noti fication letter also offers i ndividuals with a soci al security number, driver’s license numb er or financial account number potentially in volved, the opportunity to enroll in complim entary i dentity protection services including 12 months o f credit monitoring and fully managed identity theft recovery servi ces. A sample notification le tter is enclosed. 4. Steps Taken Relatin g to the Incident Upon discovering t his incident, in addition to taking the steps described above, Phia took steps to learn more about what happened and what inf ormation coul d hav e been affected. Phia has established a toll-free call center through Kr oll to answer questions about the inciden t and address related concerns. Fina lly, P hia not ified the potentia lly af fected individuals and provided them with steps they can take to protec t their personal information. 5. Contact Information If you have any questions or need additional in formation, please do not hesitate to contact me.

January 29, 2026 Page 3 138400 73v1 Sincerely, Lauren D. Godfrey Partner, Constangy Cyber Team Encl.: S ample Notification Letter Data Owner List

<<> Dear <> <>: The Phia Group, LLC (“The Phia Group”) is writing to notify you of a data security incident which may have affected the privacy of your information. The Phia Group works with health benefit plans and their third-party administrators, and is an experienced provider of healthcare cost containment tec hniques designed to control healthcare and benefit plan costs. We held limited information related to you due to our relationship with <>. Phia takes the privacy and security of information in its possession very seriously and sincerely apologizes for any inconvenience this incident may cause. Please read this letter carefully as it contains information regarding the incident and information about steps that you can take to help protect your information. What Happened? Recently, we learned that some of your personal information may have been involved in a data security incident we experienced. The incident began on July 9, 2024, when we discovered suspicious activity that temporarily disrupted the operability of our computer network. We promptly took steps to secure the environment and began an investigation to determine the nature and scope of the issue. We also began working to restore impacted systems as quickly as possible, and engaged digital forensic specialists to conduct an investigation into what happened and whether personal information was accessed or acquired without authorization. The investigation determined that some data may have been acquired between July 8, 2024 and July 9, 2024. We then completed a comprehensive and thorough review of the data potentially involved to identify what personal information was impacted and to whom it belonged. We advised the applicable health benefit plan and/or the health plan’s third party administrator that information regarding some of their plan participants was affected. We then coordinated with <> to issue this notification to you. Please note that we have no evidence of fraudulent misuse, or attempted misuse, of the potentially impacted information. What Information was Involved? The information that may have been affected in connection with this incident includes your name as well as <><>. What Are We Doing? As soon as we discovered the incident, we took the steps discussed above. In addition, we reported the incident to law enforcement. To reduce the likelihood of a similar incident occurring in the future, we implemented additional measures to enhance the security of the network environment. We are also providing you with access to < > months of credit monitoring and fully managed identity theft recovery services through Kroll. You have until < > to activate the services offered at no charge to you. < > < > < > < > < > < > < >, < > < > << c o u n t r y >> < < Date> > (Fo r mat: Mon th Day, Y ea r) ELN-24024

What You Can Do. You can follow the recommendations included with this letter to protect your personal information. We recommend that you review current and past credit and debit card account statements for discrepancies or unusual activity. If you see anything that you do not understand or that looks suspicious, or if you suspect that any fraudulent transactions have taken place, you should call the bank that issued the credit or debit card immediately. You can also activate the complementary services offered to you through Kroll by following the instructions below. Visit https://enroll.kr ollmonitoring.com to activate and take advantage of your identity monitoring services. You have until <> to activate your identity monitoring services. Membership Number: < > For more information about Kroll and your Identity Monitoring services, you can visit info.krollmonitoring.com. Additional information describing your services is included with this letter. For More Information: If you have questions about this letter or need assistance, please do not hesitate to reach out to our designated call center at Kroll at 1-866-408-2595 Monday through Friday from 9:00 am to 6:30 pm Eastern Time, excluding holidays and they will be happy to provide you with additional information. We take your trust in us and this matter very seriously. The security and privacy of patient data is among our highest priorities. Please accept our apologies for any concern or inconvenience this may cause you. Sincerely, The Phia Group, LLC PO Box 313 Canton, MA 02021

Steps Y ou Can T ake to Help Protect Y our Personal Information Review Your Account Statements and Notify Law Enforcement of Suspicious Activity: As a precautionary measure, we recommend that you remain vigilant by reviewing your account statements and credit reports closely. If you detect any suspicious activity on an account, you should promptly notify the financial institution or company with which the account is maintained. You also should promptly report any fraudulent activity or any suspected incidence of identity theft to proper law enforcement authorities, your state attorney general, and/or the Federal Trade Commission (the “FTC”). Copy of Credit Report: You may obtain a free copy of your credit report from each of the three major credit reporting agencies once every 12 months by visiting www.annualcreditreport.com/, calling toll-free 1-877-322-8228, or by completing an Annual Credit Report Request Form and mailing it to Annual Credit Report Request Service, P.O. Box 105281, Atlanta, GA 30348. You also can contact one of the following three national credit reporting agencies: Equifax P.O. Box 105851 Atlanta, GA 30348 1-800-525-6285 www.equifax.com Experian P.O. Box 9532 Allen, TX 75013 1-888-397-3742 www.experian.com T ransUnion P.O. Box 2000 Chester, P A 19016 1-833-799-5355 www.transunion.com/ get-credit-report Fraud Alert: You may want to consider placing a fraud alert on your credit report. An initial fraud alert is free and will stay on your credit file for at least one year. The alert informs creditors of possible fraudulent activity within your report and requests that the creditor contact you prior to establishing any accounts in your name. To place a fraud alert on your credit report, contact any of the three credit reporting agencies identified above. Additional information is available at www.annualcreditreport.com. For TransUnion: www.transunion.com/fraud-alerts. Security Freeze: You have the right to put a security freeze on your credit file for up to one year at no cost. This will prevent new credit from being opened in your name without the use of a PIN number that is issued to you when you initiate the freeze. A security freeze is designed to prevent potential creditors from accessing your credit report without your consent. As a result, using a security freeze may interfere with or delay your ability to obtain credit. You must separately place a security freeze on your credit file with each credit reporting agency. In order to place a security freeze, you may be required to provide the consumer reporting agency with information that identifies you including your full name, Social Security number, date of birth, current and previous addresses, a copy of your state-issued identification card, and a recent utility bill, bank statement or insurance statement. For TransUnion: www.transunion.com/credit-freeze. Additional Free Resources: You can obtain information from the consumer reporting agencies, the FTC, or from your respective state Attorney General about fraud alerts, security freezes, and steps you can take toward preventing identity theft. You may report suspected identity theft to local law enforcement, including to the FTC or to the Attorney General in your state. Federal T rade Commission 600 Pennsylvania A ve, NW W ashington, DC 20580 consumer.ftc.gov 877-438-4338 Maryland Attorney General 200 St. Paul Place Baltimore, MD 21202 www.marylandattorneygeneral.gov/ Pages/CPD 888-743-0023 Oregon Attorney General 1 162 Court St., NE Salem, OR 97301 www.doj.state.or.us/ consumer-protection 877-877-9392 California Attorney General 1300 I Street Sacramento, CA 95814 www.oag.ca.gov/privacy 800-952-5225 New Y ork Attorney General The Capitol Albany, NY 12224 800-771-7755 ag.ny.gov Rhode Island Attorney General 150 South Main Street Providence, RI 02903 www.riag.ri.gov 401-274-4400 Iowa Attorney General 1305 E. W alnut Street Des Moines, Iowa 50319 www.iowaattorneygeneral.gov 888-777-4590 NY Bur eau of Internet and T echnology 28 Liberty Street New Y ork, NY 10005 www.dos.ny.gov/consumerprotection/ 212.416.8433 W ashington D.C. Attorney General 400 S 6th Street, NW W ashington, DC 20001 oag.dc.gov/consumer-protection 202-442-9828

Kentucky Attorney General 700 Capitol A venue, Suite 118 Frankfort, Kentucky 40601 www.ag.ky.gov 502-696-5300 NC Attorney General 9001 Mail Service Center Raleigh, NC 27699 ncdoj.gov/protectingconsumers/ 877-566-7226 You also have certain rights under the Fair Credit Reporting Act (FCRA): These rights include to know what is in your file; to dispute incomplete or inaccurate information; to have consumer reporting agencies correct or delete inaccurate, incomplete, or unverifiable information; as well as other rights. For more information about the FCRA, and your rights pursuant to the FCRA, please visit www.consumer.ftc.gov/sites/default/files/articles/pdf/pdf-0096-fair- credit-reporting-act.pdf TAKE ADVANTAGE OF YOUR IDENTITY MONITORING SERVICES You have been provided with access to the following services from Kroll: Single Bureau Credit Monitoring You will receive alerts when there are changes to your credit data, for instance, when a new line of credit is applied for in your name. If you do not recognize the activity, you will have the option to call a Kroll fraud specialist, who will be able to help you determine if it is an indicator of identity theft. Fraud Consultation You have unlimited access to consultation with a Kroll fraud specialist. Support includes showing you the most effective ways to protect your identity, explaining your rights and protections under the law, assistance with fraud alerts, and interpreting how personal information is accessed and used, including investigating suspicious activity that could be tied to an identity theft event. Identity Theft Restoration If you become a victim of identity theft, an experienced Kroll licensed investigator will work on your behalf to resolve related issues. You will have access to a dedicated investigator who understands your issues and can do most of the work for you. Your investigator will be able to dig deep to uncover the scope of the identity theft and then work to resolve it. Kroll’s activation website is only compatible with the current version or one version earlier of Chrome, Firefox, Safari and Edge. To receive credit services, you must be over the age of 18 and have established credit in the U.S., have a Social Security number in your name, and have a U.S. residential address associated with your credit file.

Source

Analysis generated by AI. Source diff and links are from the original.

Classification

Agency
Various State Agencies
Published
January 29th, 2026
Instrument
Notice
Legal weight
Non-binding
Stage
Final
Change scope
Substantive

Who this affects

Applies to
Healthcare providers Consumers
Geographic scope
State (Washington)

Taxonomy

Primary area
Data Privacy
Operational domain
Compliance
Topics
Healthcare Consumer Protection

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