HUNDREDS of thousands of Americans are eligible to claim up to $1,500 from a data breach payout.

It comes after a class action lawsuit was filed against United of Omaha Life Insurance Co.

The company was accused of “recklessly” handling sensitive employee information that was compromised in a data breach last year.

In agreeing to resolve the claims with a payout, Omaha Life Insurance Co has not admitted to any wrongdoing.

It is alleged that in the data breach between April 21 and 23, 2024, the private information of over 500,000 employees was accessed in a cyber attack.

This data included full names, addresses, dates of birth, driver’s license numbers, employment information, Social Security numbers, and health information.

“As a result of the data breach, approximately 538,000 class members suffered concrete injuries,” the lawsuit claimed.

It alleged that the company failed to enforce adequate cyber security measures that would have protected employee information.

The suit claimed that Omaha Life Insurance Co. “maintained, used, and shared the Private Information in a reckless manner.”

It added that the identities of affected employees “are now at risk” due to the company’s alleged “negligent conduct” that exposed their private information to “data thieves”.

Those who were impacted by the breach are now eligible to claim up to $1,500 from the company in compensation.

There are two forms of payment that class members have to choose between.

One is a standard alternative cash payment of $50.

The other, is for reimbursement of expenses related to the breach up to $1,500.

Class members who apply for this will have to prove out-of-pocket expenses as a result of the cyberattack.

This could include bank fees, communication charges, credit monitoring fees, or identity theft insurance charges.

What’s a class-action settlement?

Class action lawsuits offer groups of people, or ‘classes,’ a way to band together in court.

These suits are often brought by one or a few people who allege a company or other entity has wronged a large group of people.

When a suit becomes a class action, it extends to all “class members,” or people who may have similar complaints to those who filed the suit.

Companies often settle class actions – offering payment to class members who typically waive their right to pursue further legal action by accepting money.

These payout agreements frequently include statements by the defendant denying wrongdoing. Companies tend to settle class actions to avoid the costs of further litigation.

Pollution, discrimination, or false advertising are a few examples of what can land a class action on a company’s doorstep.

Claimants will have to submit proof of losses such as from bank statements and receipts.

Part of the reimbursement claim also includes up to four hours of lost time at a rate of $20 per hour.

Regardless of which payment option class members choose, all are eligible for two years of free identity theft protection and credit monitoring.

All claim forms must be submitted here by May 29, 2025.

Those who do not wish to be part of the payout or who want to object to any part of the agreement can do so by April 29, 2025.

A final approval hearing is scheduled for June 25, 2025, after which checks will be paid out.

Meanwhile, Apple users have just days left to get money from a $20 million settlement over the company’s smart watches.

The payout comes after claims were made about “swelling” issues.