Consumers across the nation celebrate a win as Arthur J. Gallagher & Co., an insurance broker who failed to protect more than 3 million customers from a personal data breach, agrees to settle for $21 million.
In the summer of 2020, Gallagher’s insufficient security systems allowed unknown hackers access to the personal identification information of over 3.4 million individuals. Additionally, the company failed to notify the class of the breach after they discovered it in September of 2020. The class filed its first suit in July of 2021, one month after finally learning that their data had been stolen. After four mediation sessions, the class and defendant have come to an agreement, which was deemed “fair, reasonable, and accurate,” by US District Judge Mary Rowland.
The settlement allows class members to claim reimbursements for documented losses up to $6,000 and access credit monitoring or identity theft insurance, while Gallagher has committed to enhancing its data security measures. The the deal’s final approval will be heard on February 6, 2025.
