Data breaches have unfortunately become more and more common in recent years. If your personal information was compromised in a data breach, you may be eligible for compensation or free credit monitoring services. Here are some steps you can take to claim compensation if you were affected by a data breach.
Check if Your Information Was Involved
The first step is to find out if your information was part of the data breach. When organizations experience a data breach, they are legally required to notify any individuals whose personal information was compromised. This notice usually comes in the form of an email, letter, or notice on the company’s website. Check your email inbox and spam folder for any notifications related to data breaches. You can also visit sites like haveibeenpwned.com to see if your email address or phone number appears in any known data breaches.
Understand the Compensation or Services Offered
If you find that your information was involved in a breach, take note of what the company is offering victims. In many cases, they will offer free credit monitoring or identity protection services for 12-24 months. Other companies may offer a cash settlement or reimbursem*nt for damages like identity theft or fraud. Read the notice carefully to see what kind of compensation, if any, the company is offering breach victims.
Collect Evidence and Document Any Suspicious Activity
Before you can claim compensation, you need evidence that the breach directly harmed you. For example, if you notice fraudulent charges on your credit card after a breach, save those statements as evidence. If you spend money on credit monitoring after your SSN was exposed, keep those receipts. The more evidence of fraud, identity theft, and misuse of your data you have, the stronger your claim for compensation will be.
Check the Company’s Claims Process
Many companies will have a dedicated claims process set up for data breach victims to claim cash reimbursem*nts, free services, or other compensation. Check the data breach notice for information on how to file a claim and any relevant deadlines. Oftentimes there will be a website, email address, or mailing address to send claims. Make sure to follow all instructions carefully.
Seek Legal Representation
For major data breaches involving sensitive information like SSNs or financial data, it may be wise to contact a lawyer. An attorney can help you navigate the claims process and negotiate a fair settlement. Lawyers may work on a contingency basis where they only get paid if they win compensation for you. Hiring legal representation becomes even more important if you experience significant identity theft or fraud after a breach.
Join a Class Action Lawsuit
Instead of individual claims, many data breach victims pursue compensation by joining a class action lawsuit. Class actions allow many victims to combine their claims into one case against the company. This route may provide strength in numbers and more leverage to demand a larger settlement. If you get notification of a class action related to a breach impacting you, learn more from the law firm sponsoring the case before joining.
File Complaints With Regulators
You can also file formal complaints about the data breach with regulators like your state attorney general’s office and the Federal Trade Commission. These complaints can prompt government investigations into the company’s security practices. While regulators cannot help you get individual compensation, your complaint adds record of the breach’s impact and may lead to penalties for the company.
Be Patient Throughout the Process
It often takes months or even years for data breach claims processes to be set up and settlements to be reached. Be patient and persist with your claim. Follow up regularly for updates on any class action lawsuits or claims programs. Make sure to meet all deadlines required to receive compensation or reimbursem*nt when they become available.
Prevent Future Breaches
While claiming compensation can help remedy damage from a breach, taking steps to prevent future breaches is ideal. Use unique passwords for each online account, enable two-factor authentication when available, and limit sharing of sensitive personal data when possible. Being proactive about security makes you less likely to be a victim of the next data breach.
Conclusion
Suffering identity theft or financial fraud due to a data breach can be stressful. While no amount of money can undo that harm, seeking compensation can help recover some of the costs. By documenting damages, following claims procedures, hiring legal representation, and joining class actions, victims have recourse against companies that did not properly protect their data. Handling your claim properly takes diligence, but can result in getting reimbursed for your losses.
