# Guidehouse Secures New York FCA Settlement Coverage

Guidehouse Inc. won an insurance coverage dispute over its $7.6 million False Claims Act settlement stemming from a cybersecurity failure in New York’s pandemic rental assistance program. The court ordered Continental Casualty Co. to cover the settlement above Guidehouse’s $5 million self-insured retention, leaving the contractor responsible for that retention and the insurer liable for the covered balance.

- Government contractors should review policy language on False Claims Act settlements, cybersecurity incidents, investigations, and self-insured retentions when assessing their financial exposure.
- For agencies and procurement teams, the case underscores the potential financial and operational consequences of cybersecurity failures in the delivery of public programs.
- Guidehouse and similarly situated contractors can use the ruling as a reference when evaluating insurance coverage for government-program work; it does not change procurement requirements or establish a new compliance mandate.

**Jurisdictions:** federal
**Industries:** Information Technology
**Topics:** Cybersecurity
**Published:** September 30, 2026

### Government Entities
- U.S. Department of Justice (DOJ)
- U.S. District Court for the Eastern District of Virginia

### Vendors
- Guidehouse Inc. (insured government contractor)
- Continental Casualty Co. (insurer)
- Loews Corp. (parent company of the insurer)