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<b><i>Online Exclusive:</b></i> Medical Professionals Demanding Better Privacy Practices from Pharmaceutical Industry

By ALM Staff | Law Journal Newsletters |
July 20, 2006

Privacy is a critical issue for medical professionals, and they are expecting pharmaceutical firms to help ensure their own privacy, as well as the privacy of personal data about their patients.

According to a study released earlier this week by the Ponemon Institute, 88% of respondents said it is 'important' or 'very important' for a pharmaceutical company to protect personal information. The respondents were physicians, nurses, and physicians' assistants.

The study also found some concern over the greater ability of pharmaceutical firms to track patients through the use of wireless communications devices and 'tagging' bottles of medication with radio frequency information devices ('RFID'). While acknowledging the benefits of improving information flow, 48% of respondents said they worry about an increased risk of data breach due to the use of wireless devices, and 38% expressed concern about RFID tags.

Other key findings:

  • 27% of respondents said they would file a complaint, 29% said they would disengage, and 15% said they would participate in a boycott against a company in the event of a data breach.
  • 73% percent agreed that 'overly aggressive marketing, sales and promotional tactics' are a 'big issue … that could negatively impact [my] sense of privacy.'

Also, the survey tallied respondents' perceptions of which pharmaceutical companies are best at protecting privacy. The top five companies, in order, were: Johnson & Johnson, Pfizer, Merck (tie), Wyeth (tie), and Eli Lilly.

“Preventing data breaches has become a top priority for pharmaceutical companies, partly due to state notification laws, but more importantly because consumer and clinician loyalty depends upon it,” said Steve Roop, vice president of marketing at Vontu, a corporate privacy firm that sponsored the study.

Privacy is a critical issue for medical professionals, and they are expecting pharmaceutical firms to help ensure their own privacy, as well as the privacy of personal data about their patients.

According to a study released earlier this week by the Ponemon Institute, 88% of respondents said it is 'important' or 'very important' for a pharmaceutical company to protect personal information. The respondents were physicians, nurses, and physicians' assistants.

The study also found some concern over the greater ability of pharmaceutical firms to track patients through the use of wireless communications devices and 'tagging' bottles of medication with radio frequency information devices ('RFID'). While acknowledging the benefits of improving information flow, 48% of respondents said they worry about an increased risk of data breach due to the use of wireless devices, and 38% expressed concern about RFID tags.

Other key findings:

  • 27% of respondents said they would file a complaint, 29% said they would disengage, and 15% said they would participate in a boycott against a company in the event of a data breach.
  • 73% percent agreed that 'overly aggressive marketing, sales and promotional tactics' are a 'big issue … that could negatively impact [my] sense of privacy.'

Also, the survey tallied respondents' perceptions of which pharmaceutical companies are best at protecting privacy. The top five companies, in order, were: Johnson & Johnson, Pfizer, Merck (tie), Wyeth (tie), and Eli Lilly.

“Preventing data breaches has become a top priority for pharmaceutical companies, partly due to state notification laws, but more importantly because consumer and clinician loyalty depends upon it,” said Steve Roop, vice president of marketing at Vontu, a corporate privacy firm that sponsored the study.

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