Texas AG Sues Allstate for Alleged Data Collection Abuses

Texas Attorney General Ken Paxton is suing Allstate insurance company, alleging the company illegally collects and uses driving behavior data from over 45 million Americans without their knowledge or consent. The suit claims Allstate’s subsidiary, Arity, built a massive database of trillions of miles of driving data using software installed on mobile devices, in-car devices, and vehicles.

Paxton accuses Allstate of secretly collecting data to raise customers’ insurance rates and sell it to third parties, including other insurance companies. He argues that the company’s actions violate Texas law and is seeking a court order to block Allstate from gathering and using customer data and impose thousands of dollars in civil penalties per customer.

This lawsuit marks the first enforcement action by a state attorney general to enforce a comprehensive data privacy law, according to Paxton.

Source: https://www.foxnews.com/politics/exclusive-red-state-sues-insurer-using-customer-data-build-worlds-largest-driving-behavior-database