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Diversified Benefit Services Data Breach

January 26, 2026

NOTICE: If you received a NOTICE OF DATA BREACH letter from Diversified Benefit Services, contact Emery | Reddy, PC at 916.995.5968 for a Free Case Review.

On or around August 7, 2025, Diversified Benefit Services Insurance Marketing, Inc. (“DBS”) detected suspicious activity associated with its email environment. Upon learning of the incident, DBS immediately took steps to secure its systems and launched an investigation with assistance from outside cybersecurity experts.

Following the investigation, DBS determined that an unauthorized actor gained access to its email system and potentially downloaded certain emails and files. After completing a comprehensive review of the affected data, DBS determined that personal information belonging to certain individuals may have been impacted.

On or about January 20, 2026, DBS began mailing formal notification letters to affected individuals and started offering complimentary single‑bureau credit monitoring, credit reporting, and credit score services for 12 months, along with proactive fraud assistance services provided by Cyberscout, a TransUnion company.

Diversified Benefit Services Insurance Marketing, Inc., a Wisconsin-based third-party administrator (TPA) established in 1987, specializes in designing and administering customized, account-based benefit plans. They serve employers nationwide.

The impacted data may relate to individuals whose information was maintained within DBS’s email systems.

Following the breach, DBS implemented additional measures to enhance the security of its email environment and mitigate the risk of future unauthorized access.

If you received a Data Breach notification letter from Diversified Benefit Services, it confirms that your personal information may have been accessed and/or downloaded by an unauthorized party during this incident.

What information is involved in the Diversified Benefit Services Insurance Marketing, Inc. Data Breach?

Compromised information may include:

First Name

Last Name

Social Security Number

Medical Information

Treatment Information

Health Insurance Information

Health Insurance Policy Number

Your Personally Identifiable Information (PII) includes details that can be used to identify you. Organizations that collect and store this information are legally obligated to safeguard it. When businesses fail to adequately protect sensitive data, they may face legal liability and financial penalties.

A specific subset of PII is Protected Health Information (PHI), which includes medical and health insurance data. PHI is protected under both federal and state privacy laws, including HIPAA and related state statutes. When PHI is exposed in a data breach, it can be used in conjunction with other personal data to commit identity theft, medical fraud, and insurance fraud.

If your data has been exposed in a breach, one of the most effective steps you can take is to promptly enroll in the offered credit and identity monitoring services and continue monitoring your financial and medical activity for suspicious behavior.

Residents of California benefit from enhanced privacy protections under the California Consumer Privacy Act (CCPA), which grants additional rights related to the collection, storage, and protection of personal information. California residents may also have additional legal remedies when medical or insurance information is compromised.

If you received a NOTICE OF DATA BREACH letter from Diversified Benefit Services Insurance Marketing, Inc., your personal, financial, and medical information may be at risk. This type of sensitive information can be exploited by cybercriminals to commit fraud, identity theft, and other crimes.

Contact the Data Breach Lawyers at Emery | Reddy, PC for a Free Case Review today.

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    NOTICE: If you received a NOTICE OF DATA BREACH letter from Diversified Benefit Services, contact Emery | Reddy, PC at 916.995.5968 for a Free Case Review.

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