Lemonade Insurance $10.5M Data Breach Settlement — Claim Up to $10,000 Before September 8, 2026

Lemonade, Inc. and Lemonade Insurance Agency, LLC have agreed to a $10,500,000 class action settlement resolving allegations that cybercriminals exploited the company's online insurance quote platform and accessed the personal information — including driver's license numbers — of approximately 190,000 people. If you received a data breach notice from Lemonade in April or June 2025, you are likely a class member and may file a claim before the September 8, 2026 deadline.

What Happened

Between April 2023 and September 18, 2024, unauthorized individuals entered fictitious or manipulated information into Lemonade's online insurance quotation platform — the tool prospective customers use to get auto insurance quotes. Through this process, cybercriminals were able to retrieve driver's license numbers and other personal details associated with real individuals who had previously used the platform or whose information appeared in Lemonade's records.

The consolidated class action, In re Lemonade, Inc. Data Disclosure Litigation, Case No. 1:25-cv-04106-JHR-KHP, is pending in the U.S. District Court for the Southern District of New York. Plaintiffs allege negligence, violation of the federal Driver's Privacy Protection Act (DPPA), and violation of New York General Business Law § 349. Lemonade denies any wrongdoing but agreed to the $10.5 million settlement to resolve the litigation. The court still must grant final approval, with a hearing scheduled for September 10, 2026.

Who Qualifies

The settlement class includes all living U.S. residents whose personal information was compromised in the data exposure. Class members were identified through Lemonade's own records and were sent notices via postcard in April 2025 and again in June 2025. If you received one of those notices — which told you that your driver's license number or other personal information was involved — you are almost certainly a class member.

If you did not receive a notice but believe your information was exposed, you can verify your eligibility through the official settlement website at lemonadedatadisclosuresettlement.com or by contacting Kroll Settlement Administration at (833) 447-6429.

What You Could Receive

Every class member is automatically eligible for three years of credit monitoring and up to $1 million in identity theft insurance — this benefit requires no claim form, though you will need the activation code that was included in your postcard notice (replacement codes are available from Kroll). Beyond monitoring, class members may choose one or both cash options:

• Pro Rata Cash Payment: A share of the settlement fund remaining after fees, costs, service awards, and other benefits are paid. No receipts or proof of loss required — you will generally need the Class Member ID printed on your notice to file online. The exact amount depends on the total number of valid claims submitted.
• Documented Loss Payment: Reimbursement of up to $10,000 for actual, documented losses incurred on or after April 1, 2023 that are more likely than not traceable to the data exposure. Covered losses include identity theft damages, unauthorized charges, costs to replace a driver's license or other documents, credit monitoring fees you paid on your own, and similar expenses. Supporting documentation such as bank statements or receipts is required. If a documented-loss claim is deemed insufficient and not corrected, it is automatically converted into a pro rata cash claim.

Because the pro rata amount will depend on how many class members file claims, the exact cash figure is not known at this time. Historically, pro rata payouts in similar data breach settlements have ranged from tens of dollars to a few hundred dollars per claimant, depending on participation rates.

How to File a Claim

The fastest way to file is online at the official settlement website. You will need the Class Member ID printed on the notice postcard you received. If you cannot find your notice, contact Kroll using the Contact Us form on the settlement website or call (833) 447-6429 to request your Class Member ID.

Alternatively, you can download a paper claim form from the Documents page of the settlement website and mail the completed form to: In re Lemonade, Inc. Data Disclosure Litigation, c/o Kroll Settlement Administration LLC, P.O. Box 225391, New York, NY 10150-5391. You may also call the settlement administrator to request a paper form by mail.

Frequently Asked Questions