$14M Independent Living Systems data breach class action settlement

Independent Living Systems (ILS) agreed to a $14 million class action lawsuit settlement to resolve claims it failed to prevent a 2022 data breach that compromised sensitive consumer information.

The settlement benefits consumers whose sensitive information was exposed or potentially accessed in the Independent Living Systems data breach in June and July 2022.

Independent Living Systems is a health care management company that provides services to health plans, providers and other organizations. The company’s services include care management, pharmacy services, technology solutions and more.

In June and July 2022, Independent Living Systems was the target of a data breach that compromised sensitive consumer information. According to the company, the breach was the result of a phishing attack and affected around 3.9 million people.

Affected consumers quickly took legal action against Independent Living Systems, arguing the company could have prevented the breach through reasonable cybersecurity measures. Plaintiffs in the case say they now face an increased risk of identity theft and fraud as a result of the breach.

Independent Living Systems has not admitted any wrongdoing but agreed to pay $14 million to resolve the allegations.

Under the terms of the Independent Living Systems settlement, class members can receive reimbursement for out-of-pocket expenses and cash payments.

Class members can receive up to $5,000 for documented, unreimbursed losses resulting from the data breach. This compensation covers expenses, such as credit monitoring, bank fees, fraudulent charges, credit freezes and more.

In addition to out-of-pocket loss reimbursement, class members can receive a cash payment from the settlement. These payments will vary depending on whether class members lived in California at the time of the data breach.

Class members who lived in California at the time of the data breach can receive two pro rata shares of the net settlement fund. Class members who did not live in California at the time of the data breach can receive one pro rata share of the net settlement fund. Exact payment amounts will vary depending on the number of claims filed with the settlement.

The deadline for exclusion and objection is Oct. 6, 2025.

The final approval hearing for the Independent Living Systems settlement is scheduled for Nov. 17, 2025.

To receive settlement benefits, class members must submit a valid claim form by Nov. 4, 2025.

Who’s Eligible

U.S. residents who received a notice of a data security incident stating that their sensitive information was potentially compromised through the June/July 2022 data security incident of Independent Living Systems LLC’s computer systems or who have a good faith reason to believe their sensitive information was compromised through that data security incident.

Potential Award

Up to $5,000 in out-of-pocket losses plus a pro rata share of the remaining settlement fund.

Proof of Purchase

Documentation of out-of-pocket expenses, such as bank statements, credit card statements, invoices, receipts, bills or other documents. “Self-prepared” documents are not sufficient to support a claim.

Claim Form

NOTE: If you do not qualify for this settlement do NOT file a claim.

Remember: you are submitting your claim under penalty of perjury. You are also harming other eligible Class Members by submitting a fraudulent claim. If you’re unsure if you qualify, please read the FAQ section of the Settlement Administrator’s website to ensure you meet all standards (Top Class Actions is not a Settlement Administrator). If you don’t qualify for this settlement, check out our database of other open class action settlements you may be eligible for.

Claim Form Deadline

11/04/2025

Case Name

In re: Independent Living Systems Data Breach Litigation, Case No. 1:23-cv-21060-Williams, in the U.S. District Court for the Southern District of Florida

Final Hearing

11/17/2025

Settlement Website

ILSDataBreachSettlement.com

Claims Administrator

ILS Settlement Administrator
c/o Kroll Settlement Administration LLC
P.O. Box 5324
New York, NY 10150-5324
[email protected]
833-420-3957

Class Counsel

Stuart A. Davidson
ROBBINS GELLER RUDMAN & DOWD LLP

Alexandra M. Honeycutt
MILBERG COLEMAN BRYSON PHILLIPS GROSSMAN PLLC

John A. Yanchunis
MORGAN & MORGAN COMPLEX LITIGATION GROUP

Defense Counsel

Gregory T. Parks
MORGAN, LEWIS & BOCKIUS LLP