GM banned from sharing driving and location data with insurance companies
The order bans the automaker from selling consumers' information to data brokers for five years.
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The order bans the automaker from selling consumers' information to data brokers for five years.
Β© 2024 TechCrunch. All rights reserved. For personal use only.
Texas has sued insurance provider Allstate, alleging that the firm and its data broker subsidiary used data from apps like GasBuddy, Routely, and Life360 to quietly track drivers and adjust or cancel their policies.
Allstate and Arity, a "mobility data and analytics" firm founded by Allstate in 2016, collected "trillions of miles worth of location data" from more than 45 million people, then used that data to adjust rates, according to Texas' lawsuit. This violates Texas' Data Privacy and Security Act, which requires "clear notice and informed consent" on how collected data can be used. A statement from Texas Attorney General Ken Paxton said the suit is the first-ever state action targeting comprehensive data privacy violations.
βOur investigation revealed that Allstate and Arity paid mobile apps millions of dollars to install Allstateβs tracking software,β Paxton said in a statement. βThe personal data of millions of Americans was sold to insurance companies without their knowledge or consent in violation of the law. Texans deserve better, and we will hold all these companies accountable.β