Lawsuit: Allstate used GasBuddy and other apps to quietly track driving behavior
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.
“Our investigation revealed that Allstate and Arity paid mobile apps millions of dollars to install Allstate’s tracking software,” Paxton said in a statement. “The 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.”
Related Knowledge Center: Digital privacy and data security
If you’re online, you’re generating a constant stream of information about yourself — sometimes voluntarily, sometimes unwittingly — that is assembled and used to craft your online experience. And generate wealth for data brokers. Meanwhile, designers and managers of the digital infrastructure on which the world depends are engaged in a never-ending effort to thwart attempts, by both criminal enterprises and state actors, to exploit vulnerabilities in those systems.
Signalgate | State surveillance