Company: SYRA
Filing Date: 2025-03-11
Form Type: 10-K
Source: 0001493152-25-009873
Chunk: 173

Company: Syra Health Corp
Filing Date: 2025-03-11
Form: 10-K
Item: Item 1
Chunk 173
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. These events, including unauthorized access, misappropriation, disclosure or loss
of sensitive information (including financial or personal health information) or a significant disruption of our network, expose us to
risks including risks to our ability to provide our solutions, management distraction and the obligation to devote significant financial
and other resources to mitigate such problems and increases to our future information security costs. Moreover, unauthorized access,
use or disclosure of certain sensitive information in our possession or our failure to satisfy legal requirements, including requirements
relating to safeguarding protected health information under the Health Insurance Portability and Accountability Act (“HIPAA”)
or state data privacy laws could result in civil and criminal liability and regulatory action, which could result in potential fines
and penalties, as well as costs relating to investigation of an incident or breach, corrective actions, required notifications to regulatory
agencies and customers, credit monitoring services and other necessary expenses. In addition, actual or perceived breaches of our security
management efforts can cause existing customers to terminate their relationship with us and deter existing or prospective customers from
using or purchasing our solutions in the future. These events can have a material adverse impact on our business, results of operations,
financial condition and reputation.

Because
our products and services involve the storage, use and transmission of personal information of consumers, we may be the target of attempted
cyber and other security threats by outside third parties, including technically sophisticated and well-resourced bad actors attempting
to access or steal the data we store. Vendor, insider or employee cyber and security threats also occur and are a significant concern
for all companies, including ours. There have, in the past, been a number of high-profile security breaches involving the improper dissemination
of personal information of individuals both within and outside of the healthcare industry. These breaches have resulted in lawsuits and
governmental enforcement actions that have sought or obtained significant fines and penalties, and have required companies to enter into
agreements with government regulators that impose ongoing obligations and requirements, including internal and external (third party)
monitorships for five years or more. While we maintain liability insurance coverage including coverage for cyber-liability, claims may
not be covered or could exceed the amount of our applicable insurance coverage, if any, or such coverage may not continue to be available
on acceptable terms or in sufficient amounts.

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We
rely on Internet infrastructure, bandwidth providers, data center providers, other third parties and our own systems in providing certain
of our solutions to our customers, and any failure or interruption