Penalty Amount
$11,300,000
GEICO and Travelers were fined $11.3 million for data breaches that exposed personal information of over 120,000 New Yorkers due to inadequate cybersecurity. The breaches involved driver's license numbers being stolen and used in fraudulent unemployment claims. The settlements mandate enhanced security measures and penalties.
GEICO must pay $9.75 million and Travelers $1.55 million in penalties. Both companies must implement comprehensive information security programs, maintain data inventories, improve authentication, enhance logging and monitoring, and conduct cybersecurity risk assessments and penetration testing.
In-house legal teams should review all agreements related to online insurance quoting applications, including vendor contracts with software providers, customer privacy policies, and data processing agreements. Focus on clauses governing data security standards (e.g., encryption, access controls), incident response and breach notification timelines, audit rights, and third-party vendor oversight. Given the failure to protect driver's license numbers, contracts must be updated to mandate specific technical safeguards like multi-factor authentication, regular penetration testing, and strict data minimization/retention limits. Vendor agreements should include enforceable security requirements, right-to-audit provisions, and liability for breaches caused by vendor negligence.
Entity
Government Employees Insurance Company (GEICO) and The Travelers Indemnity Company
Also known as: GEICO, Travelers
Industry
Financial ServicesOfficial Press Release
https://ag.ny.gov/press-release/2024/attorney-general-james-and-dfs-superintendent-harris-secure-113-million-auto
geico travelers aod combined
https://ag.ny.gov/sites/default/files/settlements-agreements/geico-travelers-aod-combined.pdf
New York Attorney General Enforcement Page
https://ag.ny.gov/press-releases
New York Attorney General Letitia James joined a coalition lawsuit challenging NHTSA’s rollback of federal fuel economy standards. The coalition alleges that the final rule violates federal law and asks the court to strike it down; the press release describes no privacy violations or monetary penalty.
$400.0M
New York Attorney General Letitia James and a coalition of 47 other attorneys general secured a $400 million settlement with Sandoz Inc. and Fougera Pharmaceuticals Inc. over an alleged scheme to coordinate generic drug prices and reduce competition. The settlement provides for consumer compensation and requires Sandoz to implement antitrust compliance reforms, including annual staff training and a Chief Compliance Officer.
New York Attorney General Letitia James joined eight other attorneys general in issuing a statement criticizing a DOJ judicial misconduct complaint against nearly all federal district court judges in Minnesota. The release concerns judicial independence, not a privacy enforcement action; it announces no penalty or privacy-related remedy.
$5.9M
New York Attorney General Letitia James sued Evolutions Festival LLC and 845 Vibrations LLC over the cancellation of the 2025 festival and their failure to refund ticket holders and vendors. The state alleges violations of laws governing advance ticket-sale funds and seeks restitution, civil penalties of $5,000 for each of 1,185 alleged violations, and an order requiring a $500,000 bond before the organizers can hold future cultural events in New York.
$25K
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