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Computer Virus Hits Network Server At CorVel In California. System Was Shut Down All This Week Until Today.
By Lonce Lamonte - July 25, 2019

A computer virus hit one of CorVel Corporation’s servers this past Sunday, July 21st 2019, in California, causing a significant challenge to functionality over the entire Corvel network statewide.  It has been stated anonymously that the virus affected all of the offices.  There are several workers’ compensation claims handling offices spanning from northern to southern California. 

Tracy Jacobs, the manager of the Rancho Cucamonga office, was asked by phone this afternoon by this writer what happened with respect to the virus attack. “We’ve been instructed not to give out that information, but I do have someone you can contact,” she stated.  She only gave out an email address for a representative, Melissa Storan.  Thus far, that individual has not replied.

According to a source who asked not to be identified, the entire system was taken offline.  Forensic experts came in to review the situation.   There was not a data breach.  There was a malicious virus on one of the servers.

For a few days there was allegedly no communication coming out of Corvel.   There have been no bill reviews coming out of their CareMC bill review system.

One CorVel insider expressed, indirectly, that most of the system is back up as of right now.  It is expected that Corvel’s email will be back up tomorrow, July 26th 2019 and CareMC may be back online about the same time at the end of this week. 

All five CorVel professionals written to by this writer via email today have had bounce back notices boomerang stating the messages are non-deliverable. 

A notification with an explanation is expected to be sent out once the entire situation has been corrected.  Electronic Data Interchange (EDI) feeds will need to be resent for all days the system was down. 

Regarding CareMC, another anonymous source said it appeared the virus did not breach the indemnity payments.  But, there may be some 10% penalties on late medical bill payments, unfortunately. 

 

 lonce@adjustercom.com, Lonce Lamonte, journalist; copyright adjustercom, all rights reserved 

adjustercom freelance writer Jorge Alexandria contributed to this article.  riskletter@mail.com

    

 
 

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