The Rise of Smart Cars: How Your Vehicle Could Be Spying on You
When Romeo Chicco tried to get auto insurance in December, he never expected to be rejected by seven different companies. And when he finally did obtain insurance, the rate was nearly double what he had been paying before. The reason? His 2021 Cadillac XT6 had been spying on him.
Modern cars have been dubbed “smartphones with wheels” due to their internet connectivity and array of sensors and cameras. According to a federal complaint seeking class-action status, Mr. Chicco’s insurance rejection was based on information from his “LexisNexis report.” This report, typically used by insurers to track drivers’ violations, prior coverage, and accidents, contained detailed data on 258 trips Mr. Chicco had taken in his Cadillac over six months.
The data included trip distances, start and end times, as well as instances of speeding, hard braking, and accelerating. Shockingly, this information had been provided by General Motors, the manufacturer of Mr. Chicco’s Cadillac. In response, Mr. Chicco filed a lawsuit against General Motors and LexisNexis, accusing them of privacy and consumer protection law violations.
It was revealed that the data had been collected through OnStar, GM’s connected services company, and the Smart Driver program, which Mr. Chicco claims he never signed up for. Despite repeated attempts to get answers from GM and LexisNexis, Mr. Chicco was left in the dark about how his data was collected without his consent.
Experts like David Vladeck, a Georgetown law professor and former FTC consumer protection bureau chief, warn of the sensitive nature of driving data collection. He predicts a wave of investigations by the FTC and lawsuits against automakers and data brokers as consumers become more aware of the privacy implications of their connected cars.
As the debate over data privacy in smart cars heats up, one thing is clear: the era of cars spying on their drivers is here, and consumers are demanding answers. Stay tuned for more developments in this rapidly evolving story.
