Xsolis, a business associate of HIPAA-covered entities that provides AI-powered solutions for improving case and utilization management to achieve more efficient outcomes, has experienced a major data breach as a result of a phishing attack.
According to the data breach notification filed with the California Attorney General, unauthorized activity was identified within the Xsolis environment on January 22, 2026, as a result of a targeted phishing attack. The incident has been contained, unauthorized access has been terminated, no evidence has been found of unauthorized access since January 22, 2026, and Xsolis has found no evidence to suggest any of the exposed data has been misused.
An investigation was launched to determine the nature and scope of the unauthorized activity, which confirmed that patient data had been exposed and may have been copied. Xsolis engaged digital specialists to review the affected data, and that process has now been completed. Xsolis is notifying the affected individuals and has offered them complementary credit monitoring and identity theft protection services through Kroll for 12 months.
The Kroll website notice about the security incident states that an unauthorized third party had access to a limited portion of the Xsolis environment from January 20, 2026, to January 22, 2026. Data exposed in the incident included names, dates of birth, Social Security numbers, health insurance information, and medical treatment information.
The data breach has been reported to the HHS’ Office for Civil Rights as involving unauthorized access to the protected health information of 1,396,519 patients of its healthcare provider clients. A list of the affected clients has not been published; however, VHC Health, a healthcare provider serving patients in Northern Virginia and the Washington D.C. Metro area, has confirmed that it has been affected, as has Rochester Regional Health in New York.
Additional security measures have been implemented to prevent similar incidents in the future, system monitoring has been increased, all passwords for key users have been reset, new protective technologies have been deployed, security awareness training for employees has been accelerated, and credential management processes have been strengthened.
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