Builders Mutual Insurance Company Settles Data Breach for $1.475M
Company
Builders Mutual
Why
Data breach
Total Settlement Amount
$1.475M
Maximum Individual Claimant Award
$10,000
Claim Deadline
January 8, 2025
A massive $1.475 million settlement marks one of the most significant data breach resolutions we've seen in the insurance sector this year. Builders Mutual Insurance Company, a leading provider of commercial insurance solutions, has agreed to this substantial payout following a cybersecurity incident that exposed sensitive customer information.
The case highlights the growing concerns about data security in the insurance industry, where companies handle vast amounts of personal and financial information. This settlement demonstrates the serious consequences businesses face when customer data protection falls short of expected standards.
Settlement Details and Compensation
The settlement reached by Builders Mutual Insurance Company provides multiple compensation options for affected individuals. We've learned that the company has established a $1.475 million settlement fund to address the December 2022 data breach.
Under the settlement terms, class members can choose from several compensation options:
Three years of credit monitoring services, including dark web monitoring, real-time inquiry alerts, and $1 million in identity theft insurance
Reimbursement for economic losses up to $10,000 for fraud-related expenses and professional fees
Compensation for lost time, allowing up to 6 hours at $25 per hour (maximum $150)
An alternative cash payment estimated at $100
We want to highlight that these settlement benefits are available to all individuals in the United States whose private information was compromised in the data incident. However, class members should note that the alternative cash payment amounts may fluctuate based on the number of claims filed and available funds.
Important dates for the settlement process:
Exclusion Deadline
December 9, 2024
Objection Deadline
January 8, 2025
Claim Form Submission
January 17, 2025, 10:30 a.m.
Final Approval Hearing
January 17, 2025, 10:30 a.m.
The preliminary approval for this class action settlement was granted on August 26, 2024. We've confirmed that class members must submit a valid claim form to receive any settlement benefits. The court will make its final decision on the settlement approval during the hearing scheduled for January 17, 2025.
For those considering legal options, the settlement allows class members to either submit a claim, exclude themselves from the settlement, object to its terms, or attend the final approval hearing. Those who choose to do nothing will forfeit their rights to settlement benefits while still being bound by the settlement terms.
Conclusion
This $1.475 million settlement between Builders Mutual Insurance Company and affected customers stands as a clear reminder of data security's critical importance in our digital age. The settlement offers substantial benefits to affected individuals, ranging from comprehensive credit monitoring services to direct compensation for economic losses. Class members should carefully review their options before the January 17, 2025 deadline approaches.
Class members should remember that taking no action means forfeiting their rights to compensation while still being bound by the settlement terms. The clear deadlines and multiple compensation options provide affected individuals real opportunities for recovery from this data breach incident.