Your Car May Be Collecting Driving Data For Insurance Companies: Here’s How

With LexisNexis, insurance companies have started increasing premiums based on data about their customers. The New York Times shared that a man identified as Mr. Dahl saw a staggering 21% increase in his car insurance, which was reportedly partly attributable to his LexisNexis report. “They're taking information that I didn't know would be shared and messing with our insurance,” he said. Another driver in Palm Beach County, Florida, was denied coverage by seven insurance companies because of his report. Ultimately he had to go to a private insurance broker and pay twice as much as before.

So, how can you stop or prevent this questionable data collection before it takes a toll on your insurance bill? Sadly, there is no surefire way to avoid driving data collection, but you can at least be aware of it. First and foremost, it's a good idea to access LexisNexis Collect Your Consumer Disclosure Report So you can see what type of data and how much has already been collected. If your car has an internet connection, it would be wise to look at the privacy policy. As far as your phone is concerned, it's best to keep an eye on what car manufacturer and insurance provider apps collect and whether these companies have worked with companies like LexisNexis.

Insurance prices can be exorbitant depending on the type of car you drive. It's important to be aware of your data, where it's going, and how it can affect you in this day and age, whether you're online at home or in the driver's seat.