(TNS) — Premera Blue Cross will pay $74 million to settle a class-action lawsuit over a data breach that affected more than 10.6 million people nationwide, with $32 million to pay damages and $42 million to improve data security, under an agreement that won preliminary court approval Monday.
U.S. District Judge Michael H. Simon of Portland found the agreement fair, reasonable and adequate, considering the strength of the case against the insurance company and the anticipated expense and duration of continued litigation.
Under the deal, Washington-based Premera Blue Cross, the largest health insurer in the Pacific Northwest, would pay up to $10,000 to each class member who can show proven out-of-docket damages traced to the data breach and $50 to any class member who submits a claim.