- The four car manufacturers must explain their data collection practices to Texas authorities.
- An affiliate of Toyota Insurance uses telematics data to impact insurance premiums.
- The state of Texas recently sued Allstate and a subsidiary for tracking driver behavior.
In August last year, Texas Attorney General Ken Paxton filed a lawsuit against GM, claiming it has been secretly collecting and selling private driving data from its customers. Paxton is now coming after four more automakers, Ford, Hyundai, Toyota, and FCA, and wants them to answer questions about how they collect and use driver data.
Paxton wants the automakers to answer questions about “each method, product, or feature,” they used to collect data and must list and describe each third party this data has been shared with. They have also been requested to reveal the total number of customers and vehicles that have had driving data sold or shared with third parties in the state of Texas.
Read: Texas Sues GM For Illegally Selling 1.8M Drivers’ Data to Insurers
To comply with the investigation, Toyota, Ford, Hyundai, and FCA, must also describe how driving data is collected, shared, and sold, while also providing a detailed description of all disclosures
Interestingly, the state of Texas already appears to have more dirt on Toyota than the other carmakers. The carmaker has to provide details about Connected Analytic Services LLC (CAS) which may have received sensitive driving data. The company’s website reveals CAS LLC is an affiliate of Toyota Insurance Management Solutions USA. Toyota acknowledges that “CAS leverages telematics data from Toyota vehicles equipped with data communication modules to improve the overall ownership experience, cultivate greater customer satisfaction, [and] refine the insurance pricing options.”
What Do The Companies Have To Say?
FCA, Toyota, and Hyundai have not commented on the probe. In a statement issued to The Record, Ford said it’s cooperating and does not sell connected vehicle data to data brokers. It also said it stopped sharing data with insurers last year.
“Ford is committed to being a trusted steward of the personal information our customers choose to share with us and is confident that its practices are consistent with regulatory requirements and important privacy principles, including customer transparency and choice,” the car manufacturer said.
The state of Texas is taking the matter of sensitive driving data very seriously. Earlier this month, it sued insurance firm Allstate and its Arity subsidiary, claiming it had “secretly” embedded tracking software in third-party mobile apps to gather driving data and influence insurance premiums.
