Sequoia Benefits & Insurance Services, a benefits brokerage that helps employers administer health and other employee benefit plans, reported a data breach affecting individuals whose personal information was potentially exposed between September 22 and October 6, 2022. Incidents like this are particularly sensitive in the benefits and insurance ecosystem because these firms often store high-value identifiers (such as contact details, Social Security numbers, and/or health plan–related data) used for enrollment and eligibility, making them attractive targets for cybercriminals. The proposed class action settlement creates a compensation framework for impacted people without requiring proof of loss, with reported payments ranging from $75 up to $7,650 and a claim deadline of 3/11/26. The lawsuit was filed to allege that Sequoia failed to adequately protect the data entrusted to it and/or to provide appropriate notice and remediation after the incident, and it is significant because it reflects how data-breach cases increasingly focus on the real-world risks of identity theft and medical/benefits fraud even when a victim can’t easily document out-of-pocket harm. This settlement fits into a broader pattern of breach class actions against third-party administrators, insurers, and benefits vendors—similar to cases involving payroll processors and health-plan service providers—where plaintiffs argue that companies must implement reasonable security controls and offer meaningful relief like cash payments and credit/identity monitoring. The matter also sits within a growing regulatory patchwork: state data-breach notification laws, the FTC’s enforcement of “reasonable” data security practices, and (when protected health information is involved) HIPAA/HITECH requirements for business associates and breach notifications, all of which are pushing benefits-industry intermediaries to tighten cybersecurity governance, vendor oversight, and incident-response readiness to reduce both financial exposure and litigation risk.