Why Vendors Must Help Healthcare Providers Manage Third-Party Risks

October 14, 2025

Healthcare providers are highly targeted by hackers due to the value of their data, with a single medical record worth up to $250 on the black market. Third-party vendors, who manage critical systems like electronic health records and medical devices, are a primary entry point for cyberattacks. This page explores why vendors must take responsibility for managing third-party risks and how modernizing risk assessments and prioritizing cybersecurity can safeguard healthcare systems from threats.

Third-party vendors play a critical role in protecting healthcare providers from cyber threats. By modernizing risk assessments, adopting collaborative platforms, and prioritizing cybersecurity training, vendors and providers can reduce vulnerabilities and focus on delivering high-quality care. Take action to strengthen your organization’s third-party risk management today.

Features and Benefits of Modernized Risk Assessments

Frequently Asked Questions

Why are healthcare providers targeted by hackers?

Healthcare data is the most valuable type of data, with medical records worth significantly more than other types of personal information. Hackers target third-party vendors, who are responsible for managing sensitive systems, to gain access to healthcare networks. With an average of 1,000 vendors per hospital, each vendor introduces potential vulnerabilities into the healthcare ecosystem.

What are the challenges with traditional third-party risk assessments?

Manual processes: Historically, risk assessments have been time-consuming and relied on spreadsheets. Lengthy timelines: Traditional assessments take an average of eight or more weeks to complete. Obsolete results: Assessments often become outdated immediately due to product updates, environmental changes, and evolving cyber threats. Resource constraints: Providers and vendors lack adequate resources to make the process efficient and repeatable.

How can vendors and providers modernize the risk assessment process?

Adopt technology: Use platforms that digitize and streamline risk assessments to make them faster and more efficient. Standardized assessments: Utilize tools based on NIST standards to simplify and reuse risk profiles. Real-time updates: Vendors can maintain up-to-date risk profiles for product patches, vulnerabilities, and upgrades. Collaborative platforms: Centralize all product and service risk assessments to improve visibility and communication between vendors and providers.

Why is cybersecurity training important for third-party vendors?

Regular training ensures all employees understand the latest threats, such as phishing attacks and other exploits. Attackers often target employees, making it critical for vendors to adopt a security-first approach across their organizations. Educating employees on cybersecurity best practices reduces vulnerabilities caused by human error.

Why must third-party vendors take responsibility for risk management?

Vendors have access to sensitive healthcare systems and data, making their security practices critical to the overall ecosystem. By reducing risks, vendors protect healthcare providers from breaches, maintain trust, and ensure regulatory compliance. Transparent and collaborative risk management processes foster stronger relationships between vendors and providers.

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