Lake Charles Memorial Health Agrees to $2 Million Data Breach Settlement
Lake Charles Memorial Health Agrees to $2 Million Data Breach Settlement

Lake Charles Memorial Health Agrees to $2 Million Data Breach Settlement

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Lake Charles Memorial Health $2M Data Breach Settlement

Southwest Louisiana Hospital Association, doing business as Lake Charles Memorial Health, agreed to pay $2 million to resolve a class action lawsuit. The plaintiffs claim this resulted in a 2022 data breach in which unauthorized actors accessed sensitive information. Consumers can claim up to $5,000 for documented expenses incurred on or after Dec. 23, 2022, that are related to the data breach. All class members can claim two years of medical data monitoring and identity theft protection. If funds remain after all initial payments, additional pro rata payments may be made to claimants who cashed or deposited their checks provided the payment is at least $3. If not, the remaining funds may be donated to a mutually agreed-upon 501(c)(3) organization subject to court approval. The claim deadline is Sept. 5, 2025, and claims can be filed online or download, print, complete and mail the PDF claim form to the settlement administrator. The $2,000 settlement fund includes costs:Settlement administration costs: $1.5 million.

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Southwest Louisiana Hospital Association d/b/a Lake Charles Memorial Health

Consumers who received a notice from Lake Charles Memorial Health in December 2022 informing them that their personal health information or personally identifiable information may have been compromised could qualify to claim up to $5,000 or a pro rata cash payment from a class action settlement.

Southwest Louisiana Hospital Association, doing business as Lake Charles Memorial Health, agreed to pay $2 million to resolve a class action lawsuit alleging it failed to adequately safeguard patient data. The plaintiffs claim this resulted in a 2022 data breach in which unauthorized actors accessed sensitive information, including names, addresses, dates of birth, health insurance details, payment information, clinical data and, for some, Social Security numbers.

Who is eligible to claim a Lake Charles Memorial Health payout?

Class members must reside in the United States and have received notification from Lake Charles Memorial Health in December 2022 stating their information may have been impacted by the October 2022 data breach.

Class members who received a notice by mail or email about this settlement are included in the class. Those who did not receive a notice but believe their information was affected can contact the settlement administrator to confirm their eligibility.

How much is the data breach payout?

Out-of-pocket expense/lost time claims: Class members can claim up to $5,000 for documented expenses incurred on or after Dec. 23, 2022, that are related to the data breach. Eligible expenses include unreimbursed fraud losses and costs for credit monitoring or credit freezes, professional services and more. Additionally, class members can claim up to three hours of lost time spent addressing the breach at $25 per hour.

Class members can claim up to $5,000 for documented expenses incurred on or after Dec. 23, 2022, that are related to the data breach. Eligible expenses include unreimbursed fraud losses and costs for credit monitoring or credit freezes, professional services and more. Additionally, class members can claim up to three hours of lost time spent addressing the breach at $25 per hour. Pro rata cash payment: Instead of claiming out-of-pocket expenses and lost time, class members may opt for a pro rata cash payment. The amount will be determined by dividing the net settlement fund (after deductions for fees, costs, service awards and administrative expenses) by the number of valid pro rata cash payment claims.

Instead of claiming out-of-pocket expenses and lost time, class members may opt for a pro rata cash payment. The amount will be determined by dividing the net settlement fund (after deductions for fees, costs, service awards and administrative expenses) by the number of valid pro rata cash payment claims. Medical data monitoring and identity theft protection: All class members can claim two years of medical data monitoring and identity theft protection. This is separate from any previous monitoring services Lake Charles Memorial Health offered in response to the breach.

All class members can claim two years of medical data monitoring and identity theft protection. This is separate from any previous monitoring services Lake Charles Memorial Health offered in response to the breach. If funds remain after all initial payments, additional pro rata payments may be made to claimants who cashed or deposited their checks provided the payment is at least $3. If not, the remaining funds may be donated to a mutually agreed-upon 501(c)(3) organization subject to court approval.

How to claim a settlement payment

Class members can file a claim online or download, print, complete and mail the PDF claim form to the settlement administrator. The claim deadline is Sept. 5, 2025.

Settlement administrator’s mailing address: LCMH Data Incident Litigation, c/o Settlement Administrator, P.O. Box 25244, Santa Ana, CA 92799

What information and documentation is required to submit a claim?

All class members must provide their unique ID number, which is located on their settlement notice. To file an online claim, class members must also have their PIN from the same notice. Those who misplaced their notice or do not have a unique ID number or PIN should contact the settlement administrator at 833-360-6824 or info@LakeCharlesSettlement.com.

For out-of-pocket expense claims , class members must provide documentation. such as receipts, account statements and invoices.

, class members must provide documentation. such as receipts, account statements and invoices. For lost time claims , class members must provide a description of lost time.

, class members must provide a description of lost time. For pro rata cash payments and medical data monitoring, class members need only check the appropriate box on the claim form.

Payout options

PayPal

Venmo

Zelle

Virtual prepaid card

Paper check

$2 million settlement fund breakdown

The $2,000,000 settlement fund includes:

Settlement administration costs: To be determined

To be determined Attorneys’ fees: Up to $666,600

Up to $666,600 Attorneys’ expenses: Up to $50,000

Up to $50,000 Service awards to class representatives: Up to $1,500 each

Up to $1,500 each Medical data monitoring and identity theft protection costs: To be determined

To be determined Payments to eligible class members: Remainder of the fund

Important dates

Opt-out deadline: Sept. 5, 2025

Sept. 5, 2025 Claim deadline: Sept. 5, 2025

Sept. 5, 2025 Final approval hearing: Nov. 3, 2025

When is the Lake Charles Memorial Health settlement payout date?

Payments and benefits will be distributed approximately 30 days after the settlement receives final court approval and all appeals are resolved.

Why did this class action settlement happen?

The class action lawsuit alleged an unauthorized actor accessed files on Lake Charles Memorial Health’s computer network in October 2022. The files contained sensitive patient information, including names, addresses, identification numbers, health insurance and payment details, dates of birth, clinical information and, for some, Social Security numbers. The plaintiffs claimed LCMH failed to adequately protect this data.

LCMH denies any wrongdoing but agreed to settle to avoid the risks and costs associated with continued litigation. As part of the settlement, LCMH has also agreed to implement enhanced security measures.

Sources

Source: Claimdepot.com | View original article

Source: https://www.hipaajournal.com/lake-charles-memorial-health-data-breach-settlement/

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