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The Defense Department and Office of Personnel Management, in conjunction with the General Services Administration, on Tuesday awarded a $133.3 million contract to Identity Theft Guard Solutions LLC to provide protection services to 21.5 million OPM hack victims.
The contract covers the first year of three years of ID theft protection OPM has promised; exercising additional option years on the contract will bring the total value to $329.8 million.
Naval Sea Systems Command led the effort to select the vendor, which does business as ID Experts. The company won the first task order of a larger Blanket Purchase Agreement that preapproved three contractors — including ID Experts — to provide protection services in the event that agencies experience future data breaches. GSA expects those contracts to be worth $500 million over the next five years.
In a major shift since an earlier hack at OPM exposed the personnel files of 4.2 million current and former federal employees, the Defense Department — rather than the contractor — will be responsible for notifying victims that their background investigation information was breached. The Pentagon will cover the vast majority of the contract cost.
Read more: Government Awards $133M Contract to Protect 21.5M Victims of OPM Hack
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