Brooklyn, NY – Geico might have disclosed your driver’s license number to identity thieves. That’s what a new lawsuit is alleging and customers in the New York and New Jersey tri-state area might have been affected.
U.S. District Judge Kiyo Matsumoto ruled on Monday that Geico must defend itself in a proposed nationwide class action lawsuit. The insurer is accused of violating customers’ privacy by disclosing driver’s license numbers to identity thieves. The thieves allegedly used this information to apply for fraudulent unemployment benefits.
The lawsuit claims that Geico auto-populated driver’s license numbers into its online quote system when users entered basic personal information. Criminals reportedly exploited this feature between November 24, 2020, and March 1, 2021, to obtain license numbers for fraudulent activities.
The plaintiffs argue that Geico’s failure to protect their data increased their risk of fraud and necessitated additional time spent monitoring financial accounts. Judge Matsumoto found it too early to accept Geico’s argument that it could not be the “proximate cause” of the alleged injuries. She cited that the theft was part of a broader campaign targeting online insurance quote systems.
Kristen Wenger, a lawyer for Geico, declined to comment. Lawyers for the plaintiffs have not yet responded to requests for comment.
Judge Matsumoto’s decision follows a July 21 recommendation by U.S. Magistrate Judge Sanket Bulsara to allow the lawsuit to proceed. However, she also agreed with his recommendation to dismiss claims that Geico violated a New York state consumer protection law and committed negligence “per se.”
The case is known as In re Geico Customer Data Breach Litigation, U.S. District Court, Eastern District of New York, No. 21-02210.