The New York Times report highlights data sharing between apps and insurance companies.
BUFFALO, N.Y. — The way you drive can increase your insurance premiums, but it’s not just about speeding or car accidents.
A New York Times report last week revealed that multiple car companies are partnering with apps that collect user data and share it with data brokers, who in turn share that information with insurance companies. Ta.
If you opt-in to one of these programs, it’s legal, and if you agree to the terms and conditions, it’s all in the fine print.
“Even people who want to do the right thing say, ‘I’m going to read what I’m clicking on before I click, you can’t do much, because what those policies actually say. Spend all your time reading and deciphering the ,” said Kevin Cleary, UB clinical assistant professor in the School of Business.
UB Clinical Assistant Professor Kevin Cleary said these policies are not written in a way that is easy for anyone to understand unless they have a law degree.
Kevin Cleary said, “The average car these days collects a lot of information, and information, in the right hands, is power. Depending on the situation, it’s only natural to collect them.”
You may have seen an article in the New York Times last week about several drivers who reported having their insurance premiums increased despite having a clean driving record. .
Drivers then discovered that all their driving data, including speeding, hard braking, and sudden acceleration, was being shared with data broker LexisNexis, which in turn shared that information with their insurance companies. The data comes from apps like his OnStar, which tracks how you drive if you opt into the SmartDriver program.
Verisk is another data company. The New York Times revealed that several car companies are doing this.
Cleary offers the following advice for those who don’t want to share their data:
“I think customers may start to demand better handling and more transparency about how our privacy is handled. They can achieve that in several ways. .Customers can interact with their checkbooks and wallets, and they can reach out and interact with their customers.” How some of these industries rebrand, repackage, and resell our data? We elected lawmakers to pass stricter privacy measures to hold people accountable for what they do,” said Kevin Cleary.
You can also see if you’re enrolled in any of these programs and request a report from LexisNexis or Verisk to see what your insurance company knows.
