Crippling Cyberattack Forces Closure of 120-Year-Old Central Illinois Hospital

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SPRING VALLEY, IL – St. Margaret’s Health, a renowned healthcare provider in central Illinois, will bid farewell to the community this week after falling victim to a devastating cyberattack in 2021.

The hospital’s computer systems suffered severe damage in the ransomware attack, rendering them incapable of processing insurance claims. Coupled with challenges related to staffing and supply chain disruptions, the hospital’s leadership faced the difficult choice of permanently closing its doors.

Tim Muntz, President & CEO, expressed his regret and gratitude to the community in a memo to the staff. On June 16, 2023, St. Margaret’s Health will cease all operations, marking the end of its 120-year-long journey of service.

The closure of this historic institution emphasizes the healthcare industry’s susceptibility to cyber threats, underlining the critical need for heightened cybersecurity measures. As a result of the closure, residents are advised to seek alternative healthcare options, leaving a significant void in the local healthcare landscape.

“This includes the Hospital, Clinics, and other facilities at both locations. Please note that Labs and Diagnostic Services will no longer be performed beginning Thursday, June 15, 2023,” the hospital announced on its website. “Patients needing emergency care should call 911.”

The hospital, which opened its doors in 1903, had previously experienced a temporary suspension of services at its Peru location on January 28, 2023. All acute hospital services, including the ICU, Med-Surg/Peds, surgeries, emergency care, lab services, and outpatient hospital services, were temporarily halted during that period.

The closure of St. Margaret’s Health serves as a stark reminder of the healthcare industry’s vulnerability to cyber threats. It underscores the urgent need for robust cybersecurity measures and comprehensive strategies to protect critical data, maintain operational continuity, and safeguard patient care in the face of ever-evolving cyber risks.

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