23andMe’s Cyber Insurance Deal Approved in Bankruptcy Court

23andMe’s bankruptcy judge approved a $16.5 million settlement with its cyber insurers that transfers remaining policy value for the benefit of data breach victims.

Judge Brian C. Walsh of the US Bankruptcy Court for the Eastern District of Missouri said during a Wednesday hearing that the deal is reasonable and in the best interest of the estate.

The insurers—various underwriters at Lloyd’s, HCC Global, Allied World Specialty Insurance Co., and Landmark American Insurance Co.—won’t have future obligations for defense, contribution, or indemnity arising from the litigation related to the 2023 data breach that exposed data of roughly 7 million users. ...