Consumers Affected
165,000
New York Attorney General Letitia James filed a lawsuit against National General and Allstate Insurance Company for two data breaches in 2020 and 2021 that exposed the driver’s license numbers of over 165,000 New York residents. The AG alleges National General failed to implement reasonable data security measures, did not notify consumers or state agencies of the first breach, and left systems vulnerable to a second larger breach after Allstate took over data security operations. The AG is seeking monetary penalties and an injunction to prevent further violations.
Attorney General James is seeking monetary penalties for National General’s failure to implement reasonable data security safeguards and notify consumers of breaches, along with an injunction to stop any continued violations. No final remedies have been imposed as the enforcement action is a pending lawsuit.
In-house legal teams at insurance companies and their vendors should review all data security provisions in vendor agreements to ensure they require reasonable safeguards against automated attacks, including monitoring for unauthorized access and breach detection protocols. Contracts should include clear breach notification timelines that comply with applicable state laws, specifically requiring prompt notice to consumers and regulators in the event of a data breach exposing personal information like driver’s license numbers. Additionally, clauses governing the protection of government-issued identification data (e.g., driver’s license numbers) should be updated to require encryption or masking of such data in public-facing systems, and to mandate that vendors notify the company immediately of any security incidents. Teams should also verify that contracts with acquired entities include provisions requiring the acquiring party to maintain or enhance existing data security measures post-acquisition.
Entity
National General and Allstate Insurance Company
Industry
InsuranceOfficial Press Release
https://ag.ny.gov/press-release/2025/attorney-general-james-sues-national-general-and-allstate-insurance-failing
state of new york v national general holdings corp et al com
https://ag.ny.gov/sites/default/files/court-filings/state-of-new-york-v-national-general-holdings-corp-et-al-complaint-2025.pdf
New York Attorney General Enforcement Page
https://ag.ny.gov/press-releases
"filed a lawsuit against several insurance companies doing business as National General and Allstate Insurance Company (Allstate)"
"March 10, 2025"
"New York Attorney General Letitia James"
"filed a lawsuit against several insurance companies doing business as National General and Allstate Insurance Company (Allstate)"
"suffered a pair of back-to-back data breaches that exposed the driver’s license numbers of more than 165,000 New Yorkers"
"failure to implement reasonable data security measures"
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.