Penalty Amount
$14,200,000
Consumers Affected
825,000
New York Attorney General Letitia James secured $14.2 million in settlements from eight car insurance companies for failing to implement reasonable data security controls, leading to data breaches that exposed over 825,000 New Yorkers' personal information including driver's license numbers and dates of birth. Hackers exploited vulnerabilities in the companies' online quoting tools to steal the data, which was later used to file fraudulent unemployment claims during the COVID-19 pandemic. The settlements require the companies to pay penalties and implement enhanced cybersecurity measures including data inventory maintenance, multifactor authentication, and improved threat response procedures.
The eight settling companies must pay a combined $14.2 million in civil penalties, with individual penalties ranging from $815,000 to $2.8 million per company. All companies are required to implement and maintain a comprehensive information security program, including maintaining a private data inventory, reasonable authentication procedures (such as multifactor authentication), logging and monitoring systems to detect suspicious activity, and enhanced threat response procedures. Affected New Yorkers were offered one year of free credit report monitoring.
In-house legal teams at companies that use online consumer-facing data collection tools (including quoting, pre-fill, or account portals) should review all vendor agreements with data brokers or third-party tool providers to ensure they include mandatory security controls, breach notification requirements, and liability for security failures. Contracts should explicitly require multifactor authentication for agent or employee access, regular security assessments of tools handling private information, and maintenance of comprehensive data inventories. Companies should also update incident response provisions in vendor agreements to align with regulatory expectations for timely breach detection and reporting, and include requirements for logging and monitoring of suspicious activity. For entities in the insurance industry, specific review of agency quoting tool agreements for security warranties and compliance with state cybersecurity regulations is recommended.
Entity
American Family Mutual Insurance Company/Midvale Indemnity Company; Farmers Insurance; Hagerty Insurance Agency; The Hartford Insurance Group; Infinity Insurance Company; Liberty Mutual Insurance; Metromile; State Auto Mutual Insurance Company
Industry
InsuranceOfficial Press Release
https://ag.ny.gov/press-release/2025/attorney-general-james-secures-142-million-car-insurance-companies-over-data
american family mutual insurance company s.i assurance of di
https://ag.ny.gov/sites/default/files/settlements-agreements/american-family-mutual-insurance-company-s.i-assurance-of-discontinuance-2025.pdf
farmers insurance exchange assurance of discontinuance 2025
https://ag.ny.gov/sites/default/files/settlements-agreements/farmers-insurance-exchange-assurance-of-discontinuance-2025.pdf
hagerty insurance agency assurance of discontinuance 2025
https://ag.ny.gov/sites/default/files/settlements-agreements/hagerty-insurance-agency-assurance-of-discontinuance-2025.pdf
hartford fire insurance company assurance of discontinuance
https://ag.ny.gov/sites/default/files/settlements-agreements/hartford-fire-insurance-company-assurance-of-discontinuance-2025.pdf
infinity insurance company assurance of discontinuance 2025
https://ag.ny.gov/sites/default/files/settlements-agreements/infinity-insurance-company-assurance-of-discontinuance-2025.pdf
liberty mutual holdings company assurance of discontinuance
https://ag.ny.gov/sites/default/files/settlements-agreements/liberty-mutual-holdings-company-assurance-of-discontinuance-2025.pdf
metromile llc assurance of discontinuance 2025
https://ag.ny.gov/sites/default/files/settlements-agreements/metromile-llc-assurance-of-discontinuance-2025.pdf
state automobile insurance company assurance of discontinuan
https://ag.ny.gov/sites/default/files/settlements-agreements/state-automobile-insurance-company-assurance-of-discontinuance-2025.pdf
New York Attorney General Enforcement Page
https://ag.ny.gov/press-releases
"The car insurance companies involved in today’s settlements are: American Family Mutual Insurance Company/Midvale Indemnity Company, Farmers Insurance, Hagerty Insurance Agency, The Hartford Insurance Group, Infinity Insurance Company, Liberty Mutual Insurance, Metromile, and State Auto Mutual Insurance Company."
"secured $14.2 million from eight car insurance companies"
"October 14, 2025"
"New York Attorney General Letitia James"
"did not implement reasonable data security controls to protect consumers’ private information"
"more than 825,000 New Yorkers"
New York and a coalition of other state attorneys general sued the federal government, challenging agreements that paid Bluepoint Wind and Invenergy to cancel offshore wind leases and redirect funds to other energy projects. The coalition asks the courts to declare the agreements unlawful, void the lease cancellations, and block further action to carry them out; the release does not report a penalty or court ruling.
$96.0M
New York Attorney General Letitia James and a bipartisan multistate coalition secured more than $96 million in settlements with generic drug manufacturers accused of conspiring to raise prices and limit competition. The settlement proceeds are being distributed to eligible consumers, and settling defendants agreed to cooperate in ongoing cases and make reforms to prevent future misconduct.
New York Attorney General Letitia James and a coalition of 11 other attorneys general secured enforceable commitments from Paramount Skydance Corp. and Warner Bros. Discovery, Inc. to protect entertainment industry workers during their merger. Paramount must release at least 30 films per year, invest $1.5 billion in domestic film production, and create an independent editorial board for CNN and CBS. The consent decree also requires Paramount to sell Miramax and pay penalties if it fails to meet production requirements.
$352K
New York Attorney General Letitia James settled with Brooklyn High Rise LLC for illegally denying housing to prospective tenants based on housing court records, a practice known as tenant blacklisting. The company also charged non-refundable 'good faith' deposits. Brooklyn High Rise will pay $352,250 in penalties and restitution and must end its unlawful tenant screening practices.
New York Attorney General Letitia James issued an industry alert urging workers with knowledge of unsafe or illegal conduct in AI development to file confidential complaints through the OAG's secure whistleblower portal. The alert cites the OAG's monitoring of cybersecurity, economic, and other safety risks from emerging AI, and highlights the RAISE Act (effective January 1, 2027), which will require large AI developers to publicly disclose safety measures and report security incidents, as well as the SHIELD Act's data security requirements. No company was named, charged, or penalized; the alert signals impending OAG enforcement authority over AI developers.
$700.0M
New York Attorney General Letitia James, leading a bipartisan coalition of 39 other states, the District of Columbia, and Hawaii's Office of Consumer Protection, secured a $700 million settlement from Credit Acceptance Corporation (CAC), a subprime auto lender, resolving allegations of deceptive and abusive lending. The lawsuit alleged CAC pushed tens of thousands of consumers into unaffordable loans with average interest rates above 38 percent, bundled with expensive add-on products consumers were told were mandatory or never told about, causing widespread defaults and vehicle repossessions. Note: this is a consumer-lending enforcement action rather than a privacy matter, so no privacy violation categories from the taxonomy apply.