Peerstar Settlement Ends Class Action Lawsuit Over February 2023 Data Breach

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Peerstar LLC has agreed to settle a class action lawsuit over a February 2023 data breach that potentially compromised private patient information.

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The Peerstar class action settlement covers all individuals who were identified by Peerstar as among those impacted by the data breach, including everyone who received notice about the incident. The Peerstar data breach impacted approximately 11,438 individuals.

The court-approved website for the Peerstar data breach class action settlement can be found at https://PeerstarDataBreachSettlement.com/.

Peerstar settlement class members who submit a valid, timely claim form have multiple options for reimbursement. Per the settlement website, settlement class members who submit documented proof of ordinary out-of-pocket expenses resulting from the data breach are eligible to receive a one-time cash payment of up to $500. Under this reimbursement option, reimbursable expenses include fees for credit repair, replacing credit cards, costs associated with freezing accounts, and credit monitoring costs.

Further, class members are eligible to receive reimbursement for up to four hours of lost time spent dealing with the security incident, at a rate of $21.50 an hour, which is included in the $500 cap for ordinary-loss reimbursement, the website states.

Settlement class members who submit documented proof of extraordinary out-of-pocket expenses resulting from the data breach are eligible to receive a one-time cash payment of up to $5,000. Losses covered under this reimbursement option must include documented proof that the expenses were “more likely than not” tied to the data breach and were not already covered by the ordinary loss or time lost payouts, per the settlement agreement.

The settlement agreement adds that class members can elect to receive their payment via check or electronic payment, and that checks must be cashed within 120 days of issuance before expiration.

In addition to either monetary reimbursement option, class members with valid claim forms are also eligible to receive two free years of one-bureau credit monitoring services through CyEx.

As part of the class action settlement, Peerstar has also agreed to make certain security changes to its systems to address the cyberattack and maintain proper security measures moving forward.

To submit a Peerstar settlement claim form online, class members can head to this page and enter the class member ID found on their copy of the settlement notice.

Consumers who believe that they may be a class member but did not receive a class action settlement notice can contact the settlement administrator to confirm their identity and receive their login ID.

Alternatively, class members may download a PDF of the claim form to print, fill out, and return by mail to the address listed near the bottom of the document.

Peerstar settlement claim forms must be submitted online or by mail by January 30, 2026.

The court will determine whether to grant final approval to the Peerstar settlement at a hearing on February 12, 2026. Compensation will begin to be distributed to consumers only after final approval is granted and any appeals are resolved.

The Peerstar class action lawsuit alleged that an unauthorized account gained access to the Pennsylvania mental healthcare provider’s systems on or around February 22, 2023. According to court documents, the patient information impacted by the data breach included, but was not limited to, names, addresses, phone numbers, Social Security numbers, medical history, healthcare information and financial information.

Head to ClassAction.org’s settlements page for a complete list of data breach settlements.