Veradigm’s $10.5M Data Breach Class Action Lawsuit Settlement Pays Up To $5,000—But You Must File By March 3, 2026
Veradigm Inc. agreed to a $10.5 million settlement to resolve a class action lawsuit over a December 2024 data breach that exposed sensitive medical information belonging to over 2 million patients. The settlement, pending final approval in the U.S. District Court for the Northern District of Illinois (Case No. 1:25-cv-07062, Goodrum et al. v. Veradigm Inc.), provides affected patients with cash payments up to $5,000 for documented losses or an estimated $50 alternate payment, plus 2 years of free medical data monitoring.
If you received a breach notification letter from Veradigm or your healthcare provider, you have until March 3, 2026 to file a claim at www.VeradigmDataSettlement.com. The breach exposed names, Social Security numbers, driver’s license numbers, dates of birth, medical records, health insurance information, and payment details—creating serious identity theft and medical fraud risks that could last for years.
This affects you if you’re a patient whose medical information was processed through Veradigm’s systems and you received a data breach notification. With over 2 million affected individuals across multiple healthcare providers including Genesis Healthcare, Catholic Health Initiatives/CommonSpirit Health, and Carolina Ear Nose & Throat, understanding what compensation you’re entitled to and how to claim it could mean recovering thousands of dollars for breach-related expenses.
What the $10.5 Million Veradigm Settlement Covers
Settlement Terms and Approval Status
The $10.5 million Veradigm data breach settlement resolves claims that the healthcare technology company failed to adequately protect patient information, resulting in unauthorized access to sensitive medical data. Veradigm denies all wrongdoing but agreed to settle to avoid the costs and risks of continued litigation and to compensate affected patients.
The court granted preliminary approval in late 2025, and the final approval hearing is scheduled for March 18, 2026 at 11:00 a.m. in the Northern District of Illinois. If the court grants final approval, payments will be distributed no later than 75 days after final approval or 30 days after the settlement becomes effective, whichever is later. The settlement releases all claims against Veradigm related to the December 2024 data breach.
What the Class Action Alleged
The lawsuit alleged Veradigm could have prevented the data breach through reasonable cybersecurity measures. Plaintiffs claimed the company failed to implement adequate security safeguards, didn’t detect unauthorized access promptly, and delayed notifying affected patients. The breach allegedly occurred when an unauthorized party used stolen credentials from one of Veradigm’s clients to access a Veradigm storage account containing patient data from multiple healthcare providers around December 15, 2024.
What the Veradigm Data Breach Involved
How the Breach Happened
Veradigm discovered the breach on July 1, 2025, through a third-party investigation of a client’s security incident. The company determined that a data security incident at one of its clients resulted in credential theft that allowed unauthorized access to a Veradigm storage account. The attacker accessed the storage account around December 2024, but the breach went undetected for months.
The breach exposed patient data belonging to multiple Veradigm clients including healthcare providers like Virginia Ear, Nose & Throat Associates, Cabarrus Eye Center, Family Medical Group of Texarkana, Urology Associates of Mobile, Peachtree Neurological Clinic, and others. Veradigm began issuing breach notification letters to affected patients starting in September 2025—over two months after discovering the incident.
What Medical Information Was Exposed
The compromised data included highly sensitive information: patient names, contact details (addresses, phone numbers, email), dates of birth, health records data (diagnoses, medications, test results, treatments), health insurance information, payment details, Social Security numbers, and driver’s license numbers. The specific information exposed varies by individual.
Medical data exposure is especially dangerous because it enables medical identity theft—criminals using your information to obtain medical services, prescription drugs, or submit fraudulent insurance claims. Unlike credit cards you can cancel, you can’t change your medical history or Social Security number. Healthcare data sells for 10-50 times more than credit card data on the dark web because it’s more valuable and harder to detect when misused.
Who Qualifies for the $10.5M Settlement and How Much You Can Get
Am I Eligible for the Veradigm Settlement?
You’re a settlement class member if you’re a living individual residing in the United States who received a notice from Veradigm or your healthcare provider indicating your private information may have been impacted in the December 2024 data incident. You don’t need proof of identity theft or financial harm—just a breach notification letter.
Your healthcare provider must be one of Veradigm’s clients whose patient data was stored in the compromised system. The settlement website lists affected providers including Genesis Healthcare (including Unio Specialty Care), Catholic Health Initiatives/CommonSpirit Health (including MercyOne), Nystrom & Associates, Delaware Healthnet, Corona-Temecula Orthopaedic Associates, and many others.
How Much Money Can I Claim?
The settlement provides three types of compensation—you choose ONE cash option plus everyone gets medical data monitoring:
Cash Payment A (Documented Losses): Up to $5,000 per person for documented losses related to the data breach. You must provide reasonable documentation proving the breach most likely caused your losses. Reimbursable expenses include identity theft remediation costs, credit monitoring you purchased, time spent addressing the breach (at $20-25/hour), fraudulent charges, unauthorized account fees, and costs to freeze or unfreeze credit reports.
Cash Payment B (Alternate Cash): An estimated $50 cash payment without requiring any documentation. This is a pro rata share of the remaining settlement fund after documented loss claims are paid. The actual amount could be higher or lower depending on how many people file claims.
Medical Data Monitoring: All class members receive 2 years of CyEx’s Medical Shield Complete including real-time credit monitoring with one bureau, dark web scanning, security freeze assistance, victim support, $1 million identity theft insurance (no deductible), and access to fraud resolution agents.
Cash payments are subject to pro rata adjustment based on total valid claims and the net settlement fund after attorneys’ fees (up to $2.9 million), administrative costs, and service awards ($2,500 each to class representatives).
What You Must Know
Your Rights Under the Settlement
As a settlement class member, you have several options. You can file a claim to receive compensation—this is the only way to get settlement benefits. You can opt out of the settlement by February 17, 2026, which preserves your right to sue Veradigm separately but means you won’t get any settlement money. You can object to the settlement terms by February 17, 2026, if you think the settlement is unfair—you’ll stay in the settlement but tell the court your concerns.
If you do nothing, you’ll be legally bound by the settlement terms and release all claims against Veradigm related to the breach, but you won’t receive any compensation unless you file a claim. Even if you’re automatically included, you must file a claim form to receive payment.
Common Mistakes That Cost You Money
Don’t throw away the settlement notice thinking it’s junk mail—it contains your unique ID and instructions for claiming benefits. Not filing a claim by March 3, 2026 means you get absolutely nothing even if you qualify. Don’t assume you’ll automatically receive payment without filing.
Failing to gather documentation of your losses means missing out on up to $5,000. Keep receipts, bank statements, credit reports, time logs, and any records showing expenses or time spent addressing the breach. Not reading the settlement notice carefully means you might miss important deadlines or misunderstand what you’re entitled to.
What Happens Next with the Settlement
The court will hold a final approval hearing on March 18, 2026 at 11:00 a.m. to determine whether to approve the settlement, attorney fees, and service awards. If approved, the settlement administrator will process claims and distribute payments within 75 days after final approval or 30 days after the settlement’s effective date, whichever is later.
You can check your claim status by visiting www.VeradigmDataSettlement.com or calling the settlement administrator at (833) 630-8366. If your claim is denied, you’ll receive notice and may have an opportunity to provide additional information. Unclaimed settlement funds are typically distributed pro rata to those who filed valid claims or through cy pres awards to relevant healthcare privacy organizations.
What to Do Next
If You Received a Settlement Notice
Verify you’re in the settlement class by checking whether your healthcare provider is listed on the settlement website at www.VeradigmDataSettlement.com. Read the entire notice carefully to understand your compensation options and deadlines. Gather documentation for any losses you experienced—identity theft costs, credit monitoring expenses, fraudulent charges, time spent (keep detailed time logs), credit freeze fees, or other out-of-pocket expenses related to the breach.
Calculate what you can claim based on your documentation. If you have significant documented losses approaching $5,000, gather all supporting receipts and statements. If you don’t have documentation, you can still claim the estimated $50 alternate payment. Mark March 3, 2026 on your calendar—missing this deadline means forfeiting all compensation.
How to File Your Veradigm Settlement Claim
Visit the official settlement website at www.VeradigmDataSettlement.com to file online or download a PDF claim form. Complete all required fields accurately including your name, address, email, phone number, and your unique claim ID from the settlement notice. Choose ONE cash payment option: Cash Payment A with documentation of losses up to $5,000, or Cash Payment B for estimated $50 without documentation.
If claiming documented losses, attach supporting documentation including receipts, bank statements, credit reports showing fraudulent activity, time logs, or correspondence proving your losses. Make copies of everything before submitting. Submit your claim online by 11:59 p.m. CT on March 3, 2026 or mail it postmarked by March 3, 2026 to: Goodrum et al. v. Veradigm Inc., c/o Kroll Settlement Administration LLC, P.O. Box 225391, New York, NY 10150-5391.
Keep confirmation of submission—screenshot confirmation numbers for online submissions or certified mail receipts for mailed claims. If your claim is denied or you need to provide additional information, the settlement administrator will contact you. Call (833) 630-8366 with questions.
Your Options to Opt Out or Object
To opt out (exclude yourself), mail a written request postmarked by February 17, 2026 stating you want to be excluded from Goodrum et al. v. Veradigm Inc., Case No. 1:25-cv-07062. Your request must be personally signed and include your name, address, phone number, and email. Send to: Goodrum et al. v. Veradigm Inc., c/o Kroll Settlement Administration LLC, P.O. Box 225391, New York, NY 10150-5391. Opting out means you won’t receive settlement money but can pursue your own lawsuit.
To object, file a written objection with the court and serve it on class counsel and defendant’s counsel by February 17, 2026. Objections let you tell the court why you disagree with the settlement terms while staying in the settlement. You can also appear at the March 18, 2026 final approval hearing to voice your objection in person or through your own attorney.
Frequently Asked Questions
What is the Veradigm $10.5 million settlement about?
The Veradigm data breach settlement resolves a class action alleging the healthcare technology company failed to protect patient information in a December 2024 breach that exposed medical records, Social Security numbers, and other sensitive data of over 2 million patients. Veradigm agreed to pay $10.5 million without admitting wrongdoing.
How much money will I get from the Veradigm settlement?
You can claim up to $5,000 with documentation of breach-related losses, or an estimated $50 alternate payment without documentation. All class members also receive 2 years of free medical data monitoring with $1 million identity theft insurance. Actual amounts vary based on total claims filed.
Am I eligible for the Veradigm data breach settlement?
You’re eligible if you received a breach notification from Veradigm or your healthcare provider indicating your information may have been compromised in the December 2024 data incident. You must be a U.S. resident and have been a patient at one of Veradigm’s affected healthcare clients.
When is the deadline to file a Veradigm settlement claim?
The claim deadline is March 3, 2026. Claims must be submitted online by 11:59 p.m. CT or postmarked by this date. Missing this deadline means you cannot receive any settlement compensation even if you qualify.
What medical information was exposed in the Veradigm breach?
Exposed data included names, dates of birth, Social Security numbers, driver’s license numbers, addresses, medical diagnoses, medications, test results, treatment information, health insurance details, and payment information. The specific data exposed varies by individual.
Do I have to file a claim or is payment automatic?
You must file a claim to receive compensation. Even if you’re automatically included in the settlement class, you won’t receive any payment unless you submit a valid claim form by March 3, 2026 at www.VeradigmDataSettlement.com.
When will I receive my settlement check?
Payments will be distributed within 75 days after the court grants final approval (scheduled for March 18, 2026) or 30 days after the settlement becomes effective, whichever is later. Expect checks approximately 60-90 days after final approval assuming no appeals.
Last Updated: January 13, 2026 — We keep this current with the latest legal developments.
💡 Pro Tip: File your Veradigm settlement claim early—don’t wait until March 3, 2026. Early filing ensures your claim is processed without last-minute technical issues or mail delays. Plus, if you’re claiming documented losses, filing early gives you time to gather additional documentation if the administrator requests it.
Legal Disclaimer: This article provides general information about the $10.5M Veradigm data breach settlement and is intended for educational purposes only. It does not constitute legal advice. Settlement terms are subject to final court approval. AllAboutLawyer.com is not affiliated with the settlement administrator, Kroll Settlement Administration, or class counsel. For specific legal advice about the Veradigm settlement or your claim, consult a qualified attorney experienced in data breach litigation. Information is based on publicly available settlement documents, court filings, and official settlement website details current as of January 13, 2026.
File Your Claim Now:
- Official settlement website: www.VeradigmDataSettlement.com
- Settlement administrator: Kroll Settlement Administration LLC
- Phone: (833) 630-8366
- Claim deadline: March 3, 2026
Related: Learn how to protect yourself with our guides on Kaiser class action lawsuit,WebTPA data breach settlement, and Nelnet data breach class action lawsuit.
Stay informed, stay protected. — AllAboutLawyer.com
About the Author
Sarah Klein, JD, is a licensed attorney and legal content strategist with over 12 years of experience across civil, criminal, family, and regulatory law. At All About Lawyer, she covers a wide range of legal topics — from high-profile lawsuits and courtroom stories to state traffic laws and everyday legal questions — all with a focus on accuracy, clarity, and public understanding.
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