Up to $4.66M Globe Life, American Income Life Insurance Settlement Awaits Preliminary Approval From Court

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Globe Life and subsidiary American Income Life Insurance Company, have agreed to pay up to $4,660,000 to settle a class action lawsuit alleging that the insurance holding companies failed to prevent an October 2024 data breach that may have compromised current and former policyholders’ sensitive information.

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The plaintiffs filed a motion for preliminary approval of the proposed class action settlement with the court on February 12, 2026. If approved, the American Income Life Insurance Company settlement would cover all 532,578 individuals who were sent a notice letter from Globe Life informing them that their personal information may have been implicated in the October 2024 data breach.

ClassAction.org will update this page when the Globe Life settlement receives preliminary approval from the court.

According to the proposed agreement, the settlement will provide compensation to Globe Life class members who file a timely, valid claim form multiple options for reimbursement. Those who file proof of documented losses incurred after October 1, 2024 with their claim form will be eligible to receive a cash payment of up to $5,000, or “Cash Payment A.”

The agreement explains that claims must be accompanied by reasonable documentation proving the claimed losses, and class members may not file a claim for expenses that have already been reimbursed by another source, including the identity protection and credit monitoring services offered as part of the data breach notification letter.

In addition to, or in lieu of a documented loss payment, all Globe Life settlement class members will also have the opportunity to file a claim to receive payment for up to four hours of lost time spent responding to the data breach, at a rate of $18 per hour for a maximum payout of $72. This payment is referred to as “Cash Payment B” on all court documents.

Class members may choose to receive their check in the mail or electronically, the agreement relays, and all checks must be cashed within 120 days of issuance before expiration.

In the event that the total amount of all cash payments made to class members exceeds the aggregate benefits cap of $3,400,000, the motion reports that payments may be subject to a pro-rated reduction.

The cost of attorneys’ fees and expenses will be paid out of a $1,260,000 fund separate from class member benefits, the agreement adds.

Per the agreement, in addition to cash payments, Globe Life class members will be able to receive an activation code for two free years of CyEx Financial Shield Complete, which includes services such as identity and financial account monitoring, proactive alerts and access to fraud resolution support.

Should preliminary approval be granted, the settlement administrator will begin sending notices to class members regarding their eligibility for the settlement and instructions on how to file a claim form. The plaintiff’s motion asks that the settlement administrator begin to issue notices within 20 days after preliminary approval is granted.

More likely than not, class members will be directed to file a claim form on the court-approved settlement website; alternatively, class members can download a physical claim form to fill out and mail to the settlement administrator.

ClassAction.org will update this page with more instructions on filing a claim when the official Globe Life settlement website is live.

Once the proposed claims deadline has passed, the court will determine whether to grant final approval to the Globe Life settlement at later hearing. Compensation will only begin to be distributed to class members after final approval is granted and any appeals are resolved.

The Globe Life class action lawsuit alleged that the insurance agency, (which offers life, supplemental health, and accident insurance) and its subsidiary, American Income Life Insurance Company, were the target of a cyberattack on or around October 2, 2024. Court documents say the data breach may have impacted the private information of hundreds of thousands of current and former policyholders. According to the agreement, consumer information that may have been affected by the data breach includes names, addresses, contact information, Social Security numbers, health information, health insurance information and financial information.

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