EyeMed Vision Care

EyeMed Vision Care

In 2020, EyeMed Vision Care suffered a **phishing email breach** where hackers accessed a shared inbox used by nine employees for enrollment processing. The compromised email, protected only by a weak password, contained **six years of sensitive customer data**, including personal and potentially financial information. The breach impacted **up to 2.1 million individuals** nationwide, though the class action settlement covered ~692,154 members. Regulatory fines and settlements have cost EyeMed **over $12.6 million**, including a $5M class action payout, $4.5M to New York’s DFS, $600K to the NY AG, and $2.5M to four other states. The company also faced mandatory security upgrades, including **MFA enhancements, password audits, HIPAA risk assessments, and reduced email retention periods**. The breach exposed customers to potential fraud, identity theft, and financial losses, with class members eligible for compensation up to $10,000 for documented damages. EyeMed denied wrongdoing but agreed to settlements to resolve negligence and compliance violation claims.

Source: https://www.bankinfosecurity.com/eyemed-agrees-to-pay-5m-to-settle-email-breach-litigation-a-29659

TPRM report: https://www.rankiteo.com/company/eyemed-vision-care

"id": "eye4802448100725",
"linkid": "eyemed-vision-care",
"type": "Breach",
"date": "6/2020",
"severity": "85",
"impact": "4",
"explanation": "Attack with significant impact with customers data leaks"
{'affected_entities': [{'customers_affected': '2.1 million (nationwide); '
                                              '692,154 (class members); 1.47 '
                                              'million (HHS report); 98,632 '
                                              '(New York residents)',
                        'industry': 'Healthcare',
                        'location': 'Ohio, USA',
                        'name': 'EyeMed Vision Care',
                        'type': 'Healthcare (Vision Care Benefits Provider)'}],
 'attack_vector': 'Phishing (compromised shared email inbox with weak '
                  'password)',
 'customer_advisories': ['Breach notifications (2020)',
                         'Settlement claims process (up to $10,100 per '
                         'affected individual)'],
 'data_breach': {'data_encryption': 'No (data stored in unencrypted email '
                                    'inbox)',
                 'data_exfiltration': 'Yes',
                 'file_types_exposed': ['Emails',
                                        'Attachments (enrollment documents)'],
                 'number_of_records_exposed': '2.1 million (max estimate)',
                 'personally_identifiable_information': 'Yes',
                 'sensitivity_of_data': 'High (6+ years of customer data)',
                 'type_of_data_compromised': ['Personal Data',
                                              'Enrollment Information',
                                              'Sensitive Customer Records']},
 'date_detected': '2020-09',
 'date_publicly_disclosed': '2020-09',
 'description': 'Vision care benefits firm EyeMed agreed to pay $5 million to '
                'settle class action litigation involving a 2020 phishing '
                'email data breach. The incident, which exposed sensitive '
                'customer data from a shared email inbox, has already cost the '
                'company over $12.6 million in regulatory fines and '
                'settlements across multiple states. The breach affected up to '
                '2.1 million consumers nationwide, with 692,154 class members '
                'identified in the settlement. Security improvements mandated '
                'include enhanced MFA, password policies, HIPAA risk '
                'assessments, and third-party audits.',
 'impact': {'brand_reputation_impact': 'High (multiple regulatory actions and '
                                       'class-action lawsuit)',
            'data_compromised': ['Personal Data',
                                 'Sensitive Customer Information'],
            'financial_loss': '$12.6M+ (regulatory fines, settlements, and '
                              'litigation costs)',
            'identity_theft_risk': 'High (personal data exposed)',
            'legal_liabilities': '$12.6M+ (fines: $4.5M NY DFS, $600K NY AG, '
                                 '$2.5M 4-state AG, $5M class-action)',
            'systems_affected': ['Shared Employee Email Inbox (enrollment '
                                 'processing)']},
 'initial_access_broker': {'entry_point': 'Phishing email (compromised shared '
                                          'inbox)',
                           'high_value_targets': ['Customer enrollment data',
                                                  'PII']},
 'investigation_status': 'Closed (settlements finalized; final court hearing '
                         'on 2026-01-07)',
 'lessons_learned': ['Shared inboxes with weak passwords are high-risk targets '
                     'for phishing.',
                     'Prolonged data retention increases exposure in breaches.',
                     'MFA and password policies must be enforced rigorously in '
                     'healthcare.',
                     'Regulatory non-compliance (e.g., HIPAA) amplifies '
                     'financial and reputational damage.'],
 'motivation': 'Financial Gain (data exfiltration for fraud/identity theft)',
 'post_incident_analysis': {'corrective_actions': ['Enhanced MFA and password '
                                                   'policies',
                                                   'Third-party HIPAA security '
                                                   'risk assessment',
                                                   'Reduced email retention '
                                                   'periods',
                                                   'Mandatory security '
                                                   'awareness training',
                                                   'Audit mechanisms for weak '
                                                   'passwords'],
                            'root_causes': ['Weak password on shared email '
                                            'inbox',
                                            'Lack of MFA',
                                            'Excessive data retention (6+ '
                                            'years)',
                                            'Inadequate HIPAA compliance (risk '
                                            'assessments)']},
 'recommendations': ['Implement strict MFA for all email accounts, especially '
                     'shared inboxes.',
                     'Enforce password complexity and rotation policies with '
                     'audits.',
                     'Limit data retention periods to minimize breach impact.',
                     'Conduct regular HIPAA security risk assessments with '
                     'third-party auditors.',
                     'Segment networks to isolate sensitive data (e.g., '
                     'enrollment systems).',
                     'Train employees on phishing awareness and incident '
                     'reporting.'],
 'references': [{'source': 'Information Security Media Group (ISMG)'},
                {'source': 'NY DFS Consent Order (2022-10)'},
                {'source': 'NY AG Settlement (2022-01)'},
                {'source': '4-State AG Settlement (NJ, FL, PA, OR; 2023-05)'},
                {'source': 'HHS Breach Report (2020-09)'}],
 'regulatory_compliance': {'fines_imposed': '$12.6M+ ($4.5M NY DFS, $600K NY '
                                            'AG, $2.5M 4-state AG, $5M '
                                            'class-action)',
                           'legal_actions': ['Class-action lawsuit (settled '
                                             '2026-01-07)',
                                             'NY DFS Consent Order (2022-10)',
                                             'NY AG Settlement (2022-01)',
                                             '4-State AG Settlement (2023-05)'],
                           'regulations_violated': ['HIPAA',
                                                    'California State Laws '
                                                    '(e.g., CCPA)',
                                                    'New York Financial '
                                                    'Services Law (23 NYCRR '
                                                    '500)'],
                           'regulatory_notifications': ['HHS (2020-09)',
                                                        'State AGs (NY, NJ, '
                                                        'FL, PA, OR)']},
 'response': {'communication_strategy': ['Class-action settlement '
                                         'notifications',
                                         'Regulatory disclosures (HHS, state '
                                         'AGs)'],
              'containment_measures': ['Shortened email retention period',
                                       'Enhanced MFA',
                                       'Password policy updates'],
              'incident_response_plan_activated': 'Yes (post-breach)',
              'remediation_measures': ['Security awareness training',
                                       'Audit mechanisms for weak passwords',
                                       'Third-party risk assessment'],
              'third_party_assistance': 'Yes (third-party HIPAA security risk '
                                        'assessment)'},
 'stakeholder_advisories': ['Class-action settlement notices',
                            'Regulatory filings (HHS, state AGs)'],
 'title': 'EyeMed Email Breach Settlement',
 'type': ['Data Breach', 'Phishing', 'Unauthorized Access'],
 'vulnerability_exploited': ['Weak Password',
                             'Lack of MFA',
                             'Prolonged Email Retention (6+ years)',
                             'Shared Inbox Access']}
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