Verizon could be on the hook for up to $25 million to pay its share of a $50 million restitution agreement Yahoo signed to settle a lawsuit related to two massive data breaches in 2013 and 2014.

Associated Press reported the deal, which is yet to be approved by a US federal court, would allow Yahoo account holders who were victims of identity theft or suffered other losses as a result of the breach to file claims for reimbursement. Approximately 200 million users would be eligible to receive a cut of the money.

Claimants with documentation to prove their losses would be able to file for up to $375, while those without proof can request recompense up to $125. Users who paid for premium Yahoo email services could receive a 25 per cent refund.

All victims would also receive two free years of credit monitoring protection.

Verizon acquired Yahoo and rolled the company into its media subsidiary Oath in 2017, paying $4.48 billion for the company after negotiating a $350 million discount once news of the breaches broke.

Oath will split the bill with Altaba, the company which owns the parts of Yahoo not purchased by Verizon.