$2,500 Data Breach Settlement Deadline – Why Claims Close Soon for These Six Insurers

Thousands of insurance policyholders have less than 48 hours to secure their share of a $6 million settlement following a major cybersecurity failure at Landmark Admin LLC. The court-approved fund addresses a 2024 data breach that exposed sensitive personal information belonging to customers of six prominent life and health insurance carriers. With the final filing window closing on December 26, 2025, eligible individuals must act immediately to claim up to $2,500 in documented losses.

The legal action, Newson, et al. v. Landmark Admin LLC, centers on a security incident that occurred between May 13 and June 17, 2024. During this period, unauthorized third parties gained access to Landmark’s internal systems, potentially exfiltrating the private data of approximately 1.6 million consumers nationwide.

$2,500 Data Breach Settlement Deadline

Eligibility Criteria for $2,500 Data Breach Settlement

The $6 million Landmark Admin settlement is structured to prioritize those who suffered the most significant financial harm. As a third-party administrator, Landmark Admin manages policies for several insurance groups. Consequently, many affected individuals may not recognize the “Landmark” name immediately but will find their primary insurance carrier listed in the settlement documents.

The breach involved a sophisticated “encryption and exfiltration” attack. According to forensic investigations cited in the lawsuit, hackers bypassed security protocols to access files containing Names, Social Security numbers, Tax IDs, and life insurance policy details.

The Six Affected Insurance Providers

Eligibility is strictly limited to policyholders of the following six companies who were notified of the breach:

1. American Benefit Life Insurance Company
2. American Monumental Life Insurance Company
3. Capitol Life Insurance Company
4. Continental Mutual Insurance Company
5. Liberty Bankers Life Insurance Company
6. Accendo Insurance Company

If you hold an active or past policy with these entities and received a notification letter in late 2024 or early 2025, you are part of the “Settlement Class” and may be entitled to funds.

Breaking Down the Compensation Tiers

The settlement offers two distinct pathways for compensation. Claimants must choose one option; they cannot receive both the $30 flat payment and the $2,500 reimbursement.

Tier 1: Extraordinary Loss Reimbursement (Up to $2,500)

This tier is designed for victims of identity theft or those who incurred direct costs due to the breach. To qualify for the maximum $2,500, claimants must provide “Proof of Purchase” or documentation such as:

• Receipts for credit monitoring services purchased after June 2024.
• Bank statements showing unauthorized fraudulent charges.
• Invoices from attorneys or accountants hired to resolve identity theft issues.
• Documented phone tolls or postage costs related to rectifying the breach impact.

Tier 2: The $30 Pro Rata Cash Payment

Recognizing that many victims suffered a loss of privacy rather than a loss of funds, the settlement provides a “no-questions-asked” $30 payment. No documentation of financial loss is required for this selection. However, if the number of claims exceeds the available funds in the $6 million pool, this amount may be adjusted downward on a pro rata basis.

Forensic Analysis of the 2024 Incident

The breach at Landmark Admin was not a simple data leak but a sustained infiltration. Investigation records indicate that while suspicious activity was first detected on May 13, 2024, the full scope of the encryption was not realized until the following day. It took until July 2024 for a third-party cybersecurity firm to confirm that 806,519 specific individuals had their most sensitive “Personally Identifiable Information” (PII) accessed.

The lawsuit alleged that Landmark and the six insurers failed to implement “industry-standard cybersecurity measures” like multi-factor authentication or robust encryption for data at rest. While the defendants denied these allegations, part of the settlement includes a commitment by Landmark to upgrade its digital infrastructure to prevent future incursions.

The Path to Payment: January 2026 and Beyond

Filing a claim by the December 26, 2025, deadline is only the first step. The legal process continues into the new year. A Final Approval Hearing is scheduled for January 29, 2026, in the District Court for Dallas County, Texas.

During this hearing, the judge will review any objections and determine if the $6 million distribution is “fair, reasonable, and adequate.” If the court grants final approval, and assuming there are no appeals from third parties, checks and electronic payments (via Venmo, Zelle, or PayPal) are expected to begin circulating in the spring of 2026.

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