PHILADELPHIA (KYW Newsradio) — Labcorp has agreed to pay $2.2 million and promised to strengthen its data protection practices as part of a settlement with more than 40 states, stemming from a 2019 data breach.
The breach exposed the personal information of more than 10 million people nationwide, including more than 400,000 in New Jersey and 200,000 in Pennsylvania.
New Jersey Attorney General Jennifer Davenport said businesses cannot outsource their obligation to safeguard consumer data.
“This settlement reinforces the importance of carefully vetting vendors and maintaining strong oversight to ensure the information entrusted to them remains secure,” she said.
Under terms of the agreement, Labcorp will minimize the data provided to vendors and impose additional requirements on debt collection agencies to enhance cybersecurity.
New Jersey is receiving $68,000 as part of the settlement and Pennsylvania is receiving $43,000.
Labcorp also agreed to a separate $35 million class action settlement.
