A recent alarming revelation from the New York Times underscores a longstanding concern echoed within the automotive community: the vast troves of data generated by your vehicle are inadequately secured and exploited without your explicit knowledge or consent.
Many of us are familiar with the small dongles offered by insurance companies, enticing drivers with potential savings in exchange for monitored driving behaviors.
However, this surveillance comes at the cost of personal privacy, particularly within the confines of one’s vehicle. Disturbingly, certain automakers are bypassing the necessity of obtaining drivers’ consent and permitting insurance companies access to extensive driving data covertly.
For instance, Kenn Dahl experienced a substantial 21 percent increase in insurance costs for his leased Chevrolet Bolt, with no alternative offers from other insurers. To his astonishment, he discovered that LexisNexis, a global data broker based in New York, had compiled a detailed report on his driving habits without his knowledge:
“LexisNexis is a New York-based global data broker with a ‘Risk Solutions’ division that caters to the auto insurance industry and has traditionally kept tabs on car accidents and tickets. Upon Mr. Dahl’s request, LexisNexis sent him a 258-page ‘consumer disclosure report,’ which it must provide per the Fair Credit Reporting Act.”
The report contained an exhaustive account of every trip taken in the Bolt over six months, including trip durations, distances traveled, and incidents of speeding, hard braking, or sharp acceleration.
Notably absent was information regarding specific destinations. The driving data, sourced from General Motors, was analyzed by LexisNexis to generate a risk score utilized by insurers to tailor insurance coverage.
“It felt like a betrayal,” Dahl expressed. “They’re taking information that I didn’t realize was going to be shared and screwing with our insurance.”
This practice extends beyond General Motors, with automakers like Honda, Kia, and Hyundai also employing covert tactics to gather data on vehicle owners. Internet-connected features offered by these companies often include driving evaluation apps, the implications of which remain obscure to many users.
While automakers maintain that drivers provide consent for data collection, the reality is that obtaining such consent is typically obscured within convoluted privacy policies and fine print.
Of particular concern are reports of drivers being tracked without activating features like OnStar Smart Driver, leading to unjustified increases in insurance rates.
The Times’ investigation sheds light on a crucial issue affecting drivers of modern vehicles, underscoring the imperative for greater transparency and accountability regarding data collection and usage practices within the automotive industry.
Also read: Tesla Autopilot And Other Driver Assist Systems Deemed ‘Poor’ By US Safety Group