A federal judge in Illinois has ruled that Travelers insurance units are not required to cover software provider Ackercamps.com LLC in its nearly $3 million class action settlement over alleged violations of Illinois’ Biometric Information Privacy Act (BIPA).
U.S. District Judge David Dugan granted summary judgment Tuesday to Travelers, citing two recent Seventh Circuit decisions that confirmed exclusions for the “access or disclosure” of personal information apply squarely to biometric data claims, including facial recognition identifiers.
“The exclusion language here is nearly identical to those cases, and it clearly encompasses claims tied to facial geometry,” Judge Dugan wrote.
How Ackercamps Got Pulled Into the Privacy Storm
The coverage dispute stemmed from an underlying 2022 lawsuit filed by Lynae Vahle, individually and as guardian for a minor identified as K.V. The case alleged Ackercamps violated BIPA by using its “Bunk 1” camp software, powered by Amazon’s facial recognition, to capture and distribute children’s images without proper consent.
According to filings, the software automatically sent parents photos of camp activities featuring their children. Roughly 12,000 class members claimed their biometrics were collected and shared without permission. Ackercamps agreed in September 2023 to a $2.9 million settlement fund without admitting liability.
