Home / Technology / Your Car Knows You: Insurers Track Driving Data
Your Car Knows You: Insurers Track Driving Data
19 Feb
Summary
- Most new cars collect driving behavior data, often sold to insurers.
- Data collection agreements are buried in fine print, rarely noticed.
- FTC warns of privacy risks, citing limited enforcement actions.
Approximately 90% of new vehicles gather data on driver behavior, with many manufacturers selling this information to third parties like insurance firms. While consumers technically consent, these agreements are often hidden in lengthy paperwork during car purchases. Philip Siefke discovered Progressive knew about his recent hard braking shortly after buying his Toyota, prompting a lawsuit over the undisclosed sale of his driving data. This practice has raised significant privacy concerns, with the Federal Trade Commission issuing warnings about sensitive data collection by car brands. Although automakers claim data use enhances safety and vehicle function, consumer advocates describe cars as "data-gobbling machines." The FTC recently ordered General Motors and its OnStar service to obtain affirmative consent before selling such data for five years, though GM had already discontinued the practice.
