Skip to content Accessibility info

Rathbun Insurance Blog

All You Ever Wanted to Know About Insurance

Cyber Bytes: What Personal Data Is Your Vehicle Collecting?

Your car is an expensive purchase. You want it to meet your lifestyle needs, like safety and value. But have you considered personal data privacy as part of your car-buying evaluation?

The Federal Trade Commission (FTC) and other privacy advocacy groups have been raising alarms about personal data collection for over a decade. They say auto manufacturers are collecting consumer data without informed consent, including biometric, telematic, geolocation and video data.

From smart light bulbs to security systems to cars, the Internet of Things (IoT) expands with each innovation. Your decisions, actions, and behaviors can be collected and bundled for countless purposes, such as targeted marketing ads and lifesaving algorithms.

Data brokers and service providers want your data. Data collection has made autonomous vehicles and onboard assist systems smarter. It has also personalized the driving experience. But consumer data doesn’t always have a clear purpose. Some collection practices even border on invasive. Your auto manufacturer may collect your data just because it can.

What’s happening with the data you give up every time you drive?

The price of data

The demand for individualized experiences and upgrades requires sharing personal information. But consumers often don’t realize that the data their car collects can be sold to companies beyond their auto dealer.

Here are a few of the data players that source, package and repackage data:

Original equipment manufacturers

Original equipment manufacturers (OEMs) are the primary sources of data. Your car manufacturer is an example of an OEM. Modern vehicles have sensors that continuously collect information on performance, diagnostics and driver behavior. OEMs use this data for design improvements, safety enhancements and maintenance.

They can also sell your data to other companies, depending on the privacy terms you consent to whenever you drive.

Global positioning system

Global positioning system (GPS) devices track vehicle movement and real-time traffic information to suggest the best route to your destination. Satellite navigation systems have even more precise location-tracking capabilities.

Infrastructure

Infrastructure providers like local authorities and city governments use sensors and cameras to collect data on traffic flow, road conditions and parking availability. Connected vehicles ping off these devices when you drive.

Third parties

Third parties like Google are experienced data collectors. They have the resources and big data expertise to analyze vehicle data from all over, including GPS systems, traffic sensors and driver behavior.

These are some of the data players, but not all of them. Third-party apps selling entertainment, energy, food, security and other retail items are all interested in your data.

But what’s so interesting about your car’s data?

The personal data your vehicle can collect

According to some research groups, the question should be this: What aren’t they collecting when you get behind the wheel? It’s unknown territory when it comes to consent and cars. The passage of new laws to protect consumer data can’t keep pace with the rapid advancement of technology. Car data may be the next revenue frontier.

In 2023, the Mozilla Foundation’s *Privacy Not Included products review series researched 25 auto brands’ data collection and privacy policies. Here are their findings:

  • 100% of them collect too much personal data.
  • 84% share or sell your data.
  • 92% give drivers little to no control over their personal data.
  • 0% were transparent about their data encryption practices.

Some car privacy policies included language on the following:

  • Collecting information on sexual activity and sex life
  • Collecting genetic information or genetic characteristics
  • Sharing collected driver information for lawful requests, whether formal or informal

The illusion of consent

Even more car companies gave the illusion of consent, assuming agreement because you drove the car. For example, one company stated that passengers consented to the car company using their data just by being inside the car. Another company put the onus on the car owner, stating the driver promises to educate and inform all users and occupants about the privacy agreement.

What can you do?

Unfortunately, there’s not a lot you can do to stop data collection completely. Plus, you’ll render some cars useless if you turn off their connectivity options. However, you can learn about what information is being collected and control what you agree to.

The consumer advocacy group Electronic Frontier Foundation (EFF) lists data collection practices and privacy request pages of auto manufacturers, including:

The EFF suggests following up by email to validate your request if you don’t hear back. This list isn’t exhaustive, but it’s a place to start.

Other data that could affect your insurance

Some cars track driver behavior. If you’ve opted to share your car’s data with insurers, LexisNexis will probably be the company that collects the data.

If you’re interested in reviewing the general data insurance companies have in your report, check these insurance consumer data brokers:

Everyone drives or rides in a car, so you can’t realistically opt out of that. Your data is yours; it’s OK to question where it’s going. Until laws catch up with privacy, understand what information your car collects and ask your car company to explain it if you don’t understand.

Drive cybersafe out there!