United of Omaha reaches settlement on class action suit over data breach

A final settlement approval hearing is set for June 25

United of Omaha reaches settlement on class action suit over data breach

Cyber

By Josh Recamara

Kroll Settlement Administration has issued a statement announcing that a settlement has been reached in a class action lawsuit filed in the District Court of Douglas County, Nebraska.

The case, known as Skinner v. United of Omaha Life Insurance Company, is about a data incident that occurred between April 21 and April 23, 2024, which may have exposed personally identifiable information (PII) of current or former employees whose employers received a quote or group insurance from United of Omaha Life Insurance Company. The lawsuit alleged that the company failed to protect the PII it collected.

United of Omaha denied the claims, as well as any wrongdoing. No court has found the company liable.

Under the settlement, eligible class members who submit claims may receive reimbursement for documented, unreimbursed out-of-pocket expenses and compensation for lost time resulting from the data incident, or up to $1,500 per person.

The settlement also provided two years of credit monitoring and identity theft insurance. Alternatively, class members who choose not to submit claims for reimbursement or compensation may receive a $50 alternative cash payment.

To receive settlement benefits, Kroll said class members must submit a claim for with supporting documentation.

Class members also have several options regarding their rights under the settlement. According to the company, those who take no action will not receive settlement benefits and will waive their right to sue regarding claims in the case.

Meanwhile, those who exclude themselves from the settlement will not receive benefits but will retain their right to pursue legal claims separately. The requests for exclusions must be submitted by April 25, 2025. And finally, those who do not opt out may file objections to the settlement, also with a deadline of April 25.

A final settlement approval hearing is scheduled for June 25 at the Douglas County Hall of Justice. The court is expected to evaluate the fairness of the settlement, consider any objections and review the class counsel’s request for attorney’s fees, costs and expenses, as well as service awards for each representative plaintiff.

In 2023, United of Omaha Life Insurance reached a settlement with the US Department of Labor, mandating the company to modify its administration of requirement for participants in employer-sponsored life insurance plans. The settlement came after the federal agency found that the company frequently accepted premiums for extended periods without confirming whether insurability requirements were met.

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