New Jersey To Receive $5.5M In Nationwide Insurance Data Breach Settlement

The multi-state settlement, which also includes Nationwide subsidiary Allied Property and Casualty Insurance Company, flows from an investigation by the participating states into a 2012 data breach that resulted in the loss of social security numbers, driver’s license numbers, credit scoring information and other personal data belonging to 1.27 million consumers.

The states alleged that the October 2012 breach was caused by Nationwide’s failure to apply a critical security patch to its data system, which contained personal information collected by the company in order to provide insurance quotes. The breach affected both consumers who were insured by Nationwide and persons who had sought quotes but never became insured by the company.

In addition to New Jersey, the Nationwide settlement has been joined by the Attorneys General of Alaska, Arizona, Arkansas, Connecticut, Florida, Hawaii, Illinois, Indiana, Iowa, Kentucky, Louisiana, Maine, Maryland, Massachusetts, Mississippi, Missouri, Montana, Nebraska, Nevada, New Mexico, New York, North Carolina, North Dakota, Oregon, Pennsylvania, Rhode Island, South Dakota, Tennessee, Texas, Vermont, Washington, and the District of Columbia.

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