Listen to this article
Estimated 4 minutes
The audio version of this article is generated by AI-based technology. Mispronunciations can occur. We are working with our partners to continually review and improve the results.
Nothing in this life is certain, except for death — and maybe getting a payout if you were hacked for paying taxes.
The claims process is now open for those seeking their share of an $8.7-million settlement in a class-action lawsuit involving tens of thousands of Canadians whose sensitive information was compromised or stolen in 2020, when hackers got into their accounts on government websites, including the Canada Revenue Agency (CRA) portal.
Compensation could be as much as $5,000 for the most serious cases, according to the details posted by KPMG, the administrator for the lawsuit.
“This settlement has been found to be fair, reasonable, and in the best interests of the class members. It represents a compromise of disputed claims and is not an admission of wrongdoing,” the Treasury Board of Canada Secretariat said in a statement posted Tuesday.
Hackers targeted government accounts over several months in 2020 largely for the purpose of applying for financial aid in the victims’ names during the earliest months of the COVID-19 pandemic, including the Canada Emergency Relief Benefit (CERB) or the Canada Emergency Student Benefit (CESB).
Tens of thousands of people had their personal and financial information compromised that summer alone, from social insurance numbers and home addresses, to details of their bank accounts.
The class-action settlement reached last December and was approved in court in May. The claims process opened Tuesday.
Eligible class members can submit their claims online or by mail until Feb. 3, 2027.
WATCH | From 2020: Thousands of CRA accounts hacked in cyberattack:
Thousands of CRA accounts hacked in cyberattack
The Canada Revenue Agency has shut down its online services after 5,500 people had their CRA accounts hacked. Experts say the thieves are after emergency funds meant for pandemic relief, but there are doubts about CRA’s claim that people’s password habits made them vulnerable.
Who is eligible?
It’s important to note that not all class members are eligible for payments under the settlement agreement, KPMG points out.
Class members are those whose personal or financial information in a Government of Canada online account was disclosed to a third party without authorization between March 1, 2020, and Dec. 31, 2020.
But only those class members who were victims of unauthorized access between June 15 and Aug. 13, 2020, and whose personal information was accessed, or accessed and used for fraudulent purposes, are entitled to payments, KPMG said.
You’re also eligible if you received a notice from KPMG.
You can check your eligibility on the KGMP website’s eligibility page, where you will be asked to provide your last name and the last three digits of your social insurance number.
What could claimants be paid?
There are three classes of applicants:
- Those whose personal information was accessed (but not used fraudulently). They are eligible for up to $80 for time spent addressing issues related to unauthorized access.
- Those whose personal information was accessed and used fraudulently. They are eligible for up to $200 for time spent addressing fraudulent use of personal information.
- Both groups can claim up to $5,000 for out-of-pocket costs they might have paid in the year after the hack in relation to identity theft, like credit card charges or other fees.
Payment amounts may be reduced depending on the number of approved claims, according to a notice from the Federal Court of Canada.
How can you apply?
Eligible claimants can apply on the KPMG website. You can also download a claim form on the website, or email [email protected] for more information.
If there’s any money from the settlement amount left over or left unclaimed, Ottawa agreed to donate the excess to the Privacy and Access Council of Canada to fund privacy research.
The Government of Canada has denied any wrongdoing.
