New York Sues Allstate Over Data Breaches Exposing 165,000 Residents' Information
The lawsuit alleges weak cybersecurity and failure to notify consumers after breaches in 2020 and 2021.
- New York Attorney General Letitia James has filed a lawsuit against Allstate and its National General unit for inadequate data security practices.
- Two data breaches in 2020 and 2021 exposed the driver’s license numbers of over 165,000 New Yorkers and 199,000 individuals overall.
- The breaches were linked to vulnerabilities in National General’s online quoting tools, which displayed sensitive information in plain text and lacked safeguards against automated attacks.
- National General allegedly failed to notify affected consumers or state agencies about the first breach and delayed detection of the second breach by three months.
- The lawsuit seeks civil penalties of $5,000 per violation and accuses the company of prioritizing profits over implementing reasonable cybersecurity measures.