How much money can I get for a HIPAA violation?

Asked by: Carmela Metz  |  Last update: March 3, 2026
Score: 4.8/5 (69 votes)

A HIPAA violation lawsuit's worth varies wildly, from settlements in the thousands for minor issues to massive class-action payouts like Anthem's $115 million for major breaches, with direct government fines ranging from $100 to $1.5 million per violation, depending on negligence levels, plus potential criminal charges for severe cases. While you can't directly sue under HIPAA for personal damages, affected individuals often pursue claims via state laws, negligence, or breach of contract, leading to significant financial awards for harm caused.

Can you get money from a HIPAA violation?

After the implementation of the American Recovery and Reinvestment Act of 2009, patients whose private information has been wrongly accessed may file civil lawsuits against the accused. Depending on the type and amount of given data, civil penalties can range into the millions in compensation.

Can you get paid for reporting HIPAA violations?

According to the Whistleblower Law Collaborative, successful False Claims Act cases may entitle whistleblowers to a reporting HIPAA violations reward.

What is the monetary penalty for HIPAA violations?

HIPAA Violation Penalty Structure

  • Tier 1: Minimum fine of $100 per violation up to $50,000.
  • Tier 2: Minimum fine of $1,000 per violation up to $50,000.
  • Tier 3: Minimum fine of $10,000 per violation up to $50,000.
  • Tier 4: Minimum fine of $50,000 per violation up to $1,500,000.

What is a level 1 HIPAA violation?

The HIPAA violation penalty structure is broken into four levels based on the severity of the violation and the violator's intent. They are: Tier 1 violations are those in which the covered entity or business associate unknowingly violates HIPAA.

The 11 MOST Common HIPAA Violations

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Has anyone gone to jail for a HIPAA violation?

Albert Torres, a clerk at the Veteran Affairs Medical Center in Long Beach, California, was sentenced to 4 years in state penitentiary in 2018 for the theft of the protected health information of more than 1,000 patients.

How much money do whistleblowers get?

Whistleblowers get paid a percentage of the money recovered by the government, typically 10% to 30%, depending on the specific program (like IRS, SEC, CFTC) and case details, with some large awards reaching hundreds of millions, but the payment is conditional on the information leading to successful enforcement and significant monetary sanctions (often over $1 million). The percentage varies based on whether the government intervenes and the quality of the original information, with lower percentages for public-sourced or planned actions. 

How long can I sue for a HIPAA violation?

Complaint Requirements

Name the covered entity or business associate involved, and describe the acts or omissions, you believed violated the requirements of the Privacy, Security, or Breach Notification Rules. Be filed within 180 days of when you knew that the act or omission complained of occurred.

What is the most common violation of HIPAA?

The most common HIPAA violation is the impermissible use and disclosure of Protected Health Information (PHI), often due to unauthorized employee access (snooping), misdirected communications (wrong email/fax), or sharing more information than necessary, stemming from a lack of adequate safeguards, training, or access controls. This includes both accidental disclosures and intentional curiosity-driven access, highlighting a significant need for strong policies, regular staff training, and robust security measures.
 

How hard is it to win a lawsuit against a hospital?

Yes, winning a lawsuit against a hospital is generally hard and complex, as doctors and hospitals win the majority of cases that go to trial (around 70-80% even with strong evidence), largely because of high legal burdens, strong defense teams, and the difficulty of proving negligence with expert testimony. Most cases settle out of court, but trials are challenging, requiring clear evidence, strong medical records, and expert witnesses to establish a direct link between negligence and serious harm or death. 

Can you sue for the breach of Hippa?

There is no private cause of action in HIPAA, so it is not possible for a patient to directly sue for a HIPAA violation under HIPAA.

Is it worth suing a doctor?

Filing a medical malpractice lawsuit is a big decision, but it may be the best way to seek justice if you or a loved one has suffered due to a healthcare provider's negligence.

What is a tier 3 HIPAA violation?

Tier 2 - Violations in this tier involve issues that the covered entity should have been aware of but could not reasonably have been avoided. Tier 3 - Tier 3 violations involve “willful neglect” of HIPAA rules where an attempt has been made to address the issue.

What was the largest HIPAA violation?

Anthem. Anthem, one of the largest health insurance companies in the US, experienced a massive data breach in 2015. The breach affected nearly 79 million people, exposing their names, social security numbers, and other personal information.

What type of lawyer do I need for a HIPAA violation?

For a HIPAA violation, you need a Healthcare Regulatory Attorney or a lawyer specializing in Healthcare Privacy and Cybersecurity Law, focusing on those with experience in litigation, data breaches, and compliance, especially if you are a patient seeking recourse or a provider needing defense. These lawyers handle complaints with the HHS Office for Civil Rights (OCR), manage breach notification processes, and can file lawsuits, often working on class-action cases for data breaches. 

Can you get another job after a HIPAA violation?

You can be rehired after a HIPAA violation. However, if you were previously employed as a healthcare professional and your previous contract was terminated for a criminal HIPAA violation or a violation considered to be gross misconduct, your license to practice may also have been terminated.

Is it a felony to violate Hippa?

Is a HIPAA violation a felony? A HIPAA violation can be a felony if it is a Tier 2 or Tier 3 criminal violation related to the knowing and wrongful disclosure of individually identifiable health information.

Is it hard to win a whistleblower case?

Yes, winning a whistleblower case is challenging due to complex laws, lengthy processes, employer tactics, and potential government reluctance, but success is achievable with strong evidence, experienced legal counsel (especially specialized attorneys for qui tam or specific agency laws), careful planning (like avoiding premature public disclosure), and persistence, with many cases resulting in significant rewards, particularly in federal fraud cases. 

What is the average whistleblower settlement?

Average whistleblower compensation varies widely, generally a percentage (10-30%) of recovered funds, with recent U.S. Department of Justice data showing averages around $750,000-$865,000 for False Claims Act cases, while some studies note median take-home pay closer to $50k-$140k after legal fees and taxes, highlighting that large settlements skew averages and many whistleblowers face significant personal costs like retaliation. 

What is the largest whistleblower reward?

Since the inception of the SEC Whistleblower Program, the SEC has awarded more than $2 billion to 444 individual whistleblowers. The largest SEC whistleblower awards to date are: $279 million SEC whistleblower award (May 5, 2023); $114 million SEC whistleblower award (October 22, 2020);

What are three common HIPAA violations?

Three common HIPAA violations involve improper disclosure (sharing PHI without authorization, even discussing it in public), inadequate data security (unencrypted devices, unsecured cloud apps, lost laptops), and mishandling records (improper disposal, denying patient access, or unauthorized employee snooping). These violations stem from failures to protect Protected Health Information (PHI) through insufficient safeguards, lack of training, or neglecting security rules like encryption. 

Does HIPAA hold up in court?

HIPAA allows disclosures for law enforcement purposes in the following cases: Court Order, Warrant, Subpoena, or Administrative Process.

How long does a HIPAA violation stay on your record?

There's no single timer for how long a HIPAA violation “stays on your record.” At minimum, HIPAA-required documentation must be retained for six years. Your organization's record retention policies, state regulatory compliance rules, contractual obligations, and any enforcement actions can extend that period.