A New York insurance company is setting aside millions of dollars to pay compensation to victims of a data breach that occurred more than 15 years ago.
According to the official website, the insurance company Lemonade Inc he agreed to establish a $10.5 million fund to compensate victims of data breaches that exposed personal information, including driver’s license numbers (DLNs).
According to the consolidated class action lawsuit filed In August 2025, a data breach occurred after Lemonade Inc, for its own purposes, “willfully and intentionally created and implemented” a section on its website that disclosed driver’s license numbers.
“Unsurprisingly, Defendants’ (Lemonade Inc) profit-seeking practices attracted the attention of opportunists, who used Defendants’ Quote Platform to obtain highly relevant DLNs for approximately 190,000 consumers, including Plaintiffs, over a 17-month period.”
The data breach occurred between April 2023 and September 2024, but Lemonade Inc discovered it in March 2025.
Members with documents showing losses directly linked to the data breach are eligible for up to $10,000 each. Alternatively, the members of the permanent group will receive an amount to be decided respectively.
Permanent class members who want to receive monetary benefits must submit claims by September 8. Final approval of the decision will take place on September 10.
All those affected by the data breach will receive automatic credit management and insurance for three years. This will include theft insurance up to $1 million.
Despite accepting the settlement, Lemonade Inc denies any wrongdoing.
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