Kelly Benefits Data Breach
Pittman, Dutton, Hellums, Bradley & Mann Files Investigation Into Massive Kelly Benefits Data Breach Impacting Over 260,000 Individuals
At Pittman, Dutton, Hellums, Bradley & Mann, P.C., we are investigating a class action lawsuit filed in response to a massive data breach involving Kelly & Associates Insurance Group, Inc. (“Kelly Benefits”), a third-party payroll and benefits administrator. The breach exposed highly sensitive personal, medical, and financial information of more than 260,000 individuals.
If you received a notification from Kelly Benefits—or from one of its affected clients such as Guardian Life Insurance, CareFirst, Amergis, or Beam Benefits—you may be entitled to financial compensation and legal protection.
What Happened?
Between December 12 and December 17, 2024, hackers infiltrated Kelly Benefits’ systems and accessed unencrypted files containing:
- Full names
- Social Security numbers
- Dates of birth
- Tax ID numbers
- Medical and health insurance information
- Financial account details
Kelly Benefits later confirmed the breach in a public notice, stating it took immediate action to mitigate the incident and began an internal investigation. However, victims reportedly were not informed until April 2025, nearly four months after the breach—raising questions about delayed disclosure and compliance with data privacy laws.
What Is Kelly Benefits Accused Of?
According to the complaint filed in the U.S. District Court for the District of Maryland (Case No. 1:25-cv-01311), Kelly Benefits is accused of:
- Failing to implement reasonable cybersecurity practices
- Storing sensitive personal data without encryption or redaction
- Violating federal and state privacy laws, including the Federal Trade Commission Act and Maryland Commercial Law § 14-3504
- Delaying notification in violation of Maryland’s data breach statute
- Omitting key information in the breach notification letters
Lead plaintiff Brittany Parks, who enrolled in benefits through Kelly, is seeking injunctive relief and financial damages, including compensation for credit monitoring expenses and emotional distress. She argues that the breach has put her and others at ongoing risk of identity theft, financial fraud, and misuse of medical information.
Who Is Affected?
The breach impacts individuals associated with at least nine organizations, including:
- Amergis
- Beam Benefits
- Beltway Companies
- CareFirst BlueCross BlueShield
- Guardian Life Insurance Company
- Intercon Truck of Baltimore
- Publishers Circulation Fulfilment
- Quantum Real Estate Management
- Transforming Lives Inc.
If you were employed by or received benefits through one of these entities, your data may have been compromised.
Why This Matters: Third-Party Vendors Are Prime Targets
This breach highlights a growing cybersecurity threat: third-party vendors. Kelly Benefits, like many outsourced benefits and HR administrators, holds vast amounts of sensitive information across multiple employers—but often lacks the same level of cybersecurity as the companies they serve.
In a single attack, hackers can access thousands of employee records across many organizations. According to industry data:
- 61% of companies reported a third-party breach in 2023
- Third-party breaches increased 2,600% between 2018 and 2023
- Involvement of vendors in cyberattacks doubled last year
- The professional services sector—where firms like Kelly operate—saw a spike from 3% to 14% in breach volume in just one year
How Our Firm Can Help
At Pittman, Dutton, Hellums, Bradley & Mann, P.C., we have decades of experience representing victims of data breaches and privacy violations. If you were affected by the Kelly Benefits breach, you may be entitled to:
- Compensation for out-of-pocket expenses and time lost
- Credit monitoring or identity protection reimbursement
- Damages for emotional distress
- Legal action to hold negligent companies accountable
We offer free, confidential consultations, and you pay nothing unless we recover compensation for you. Call us today at (205) 322-8880 or fill out our secure case evaluation form to learn your legal options.
Links
[1] https://kellybenefits.com/data-event/
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