Your Car Might Be Secretly Recording Your Driving Habits And Sending The Data To Your Insurance Company: Report

The driving data of millions of Americans is being shared with insurance companies by automakers and data brokers, leading to increased insurance premiums for some drivers.

What Happened: Internet-connected vehicles, including the Chevrolet Bolt, are capable of tracking driving patterns such as hard braking and rapid accelerations. This data is then sent to LexisNexis, a data broker that collaborates with insurance companies to create personalized coverage, reported The New York Times.

Kenn Dahl, a Chevrolet Bolt owner discovered a 258-page report on his driving habits after questioning a 21% increase in his insurance costs. Other owners shared similar experiences of increased insurance costs, with insurance companies advising them to review their LexisNexis reports.

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The OnStar Smart Driver service by General Motors is a key feature in this report. Despite being an optional service, some drivers reported increased insurance costs even when not enrolled in Smart Driver.

GM confirmed sharing “select insights” with LexisNexis, emphasizing that Smart Driver is an opt-in service that can be turned off, according to the report.

Why It Matters: This revelation adds to the ongoing debate on data privacy and security in the automotive industry. In April, it was reported that Tesla employees had open access to owners’ built-in cameras, raising concerns about privacy.

This issue was further highlighted in August when a Tesla dashcam recorded a tornado, sparking discussions on the extent of data collection by smart cars.

Moreover, the U.S. government is considering tightening regulations on smart cars, particularly those from China, due to data privacy concerns. The recent report on GM’s data collection practices may further fuel the conversation on the need for stricter data privacy regulations in the automotive industry.

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