HealthEquity Breach Exposed 4 Million Members’ Info, Suit Says

HealthEquity Inc.'s inadequate security measures led to a March data breach that exposed the personal health information of more than 4 million people, according to a class action.

The provider failed to encrypt data, implement firewalls, or set anti-malware programs to safeguard the personal information of its members, according to a Wednesday complaint filed in the US District Court for the District of Utah.

The provider manages healthcare savings accounts, flexible spending accounts, and other benefits for more than 14 million members, according to the complaint.

HealthEquity first identified a system “anomaly” on March 25, which spurred a technical investigation ...