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Geico Customer Data Breach and Fraudulent Unemployment Claims

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Why This Privacy Law is Important:

Data breaches are driven by the monetization opportunities for stolen data. Many states use driver’s license numbers or other state IDs as a means of validating online identities. Naturally, this makes auto insurers a target for data theft, so that these identities can be exploited. The increase in government funding for unemployment claims has made fraudulent claims more lucrative. Challenges faced by overwhelmed state unemployment systems mean the risks are lessened. This opportunity means that retail insurers such as Geico are often in the crosshairs


Insurance company Geico recently sent notifications of a data breach to its customers last week, indicating that an unknown number of driver’s license numbers were compromised during a six-week period early in the year. The notification advised Geico customers that these numbers might be used for fraudulent unemployment claims.

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