FTC Fines Cerebral $7M for Data Misuse, Misleading Policies
April 18, 2024![FTC Fines Cerebral $7M for Data Misuse, Misleading Policies](https://cdn.brief.news/cdn-cgi/image/fit=contain,width=768/images/stories/468fd7922519522134b312bc7c1f97c89e05de3533ea315c889aac92900fb7003d0fc44e3bc4a762e87d2623a7104ac2e0892dbab2a75c4a96c2f8e85ba98fb4.png)
The Federal Trade Commission has fined Cerebral $7 million for improper handling of health data and deceptive cancellation policies.
Cerebral used pixel trackers to collect and share 3.2 million consumers' data without their consent, resulting in a privacy breach.
The FTC settlement requires Cerebral to stop using health data for most advertising and mandates a $5.1 million refund to consumers plus a $10 million civil penalty, potentially reduced to $2 million.
This case emphasizes the necessity for healthcare entities to comply with privacy laws and may influence future marketing and data practices in the industry.
Consumers are urged to take security measures such as changing passwords, enabling two-factor authentication, and setting up identity monitoring to safeguard against data breaches.
Summary based on 2 sources
Get a daily email with more Tech stories
Sources
![Mental health company Cerebral failed to protect sensitive personal data, must pay $7 million | Malwarebytes](https://cdn.brief.news/cdn-cgi/image/fit=contain,width=160/images/links/468fd7922519522134b312bc7c1f97c89e05de3533ea315c889aac92900fb7003d0fc44e3bc4a762e87d2623a7104ac2e0892dbab2a75c4a96c2f8e85ba98fb4.png)
Malwarebytes • Apr 18, 2024
Mental health company Cerebral failed to protect sensitive personal data, must pay $7 million | Malwarebytes![What Does the FTC’s $7M Fine Against Cerebral Mean for the Industry?](https://cdn.brief.news/cdn-cgi/image/fit=contain,width=160/images/links/7b6f47cbd51b6d89e3b7dc33f8e71dd1225ad3ad671a4c7be5dcf681ab7d1daed7ba863a418add7e2d25cf8a5956d92599351dbc46483a62db2dd293080eb00c.jpg)
MedCity News • Apr 18, 2024
What Does the FTC’s $7M Fine Against Cerebral Mean for the Industry?