Would You Give Up Privacy to Save on Your Car Insurance?
PERSONAL PRIVACY—U.S.March 24, 2010
The automobile insurance industry is trying to determine whether customers would agree to have their driving electronically monitored if it could result in lower premiums, the New York Times reports. "There is general interest and a desire on the part of a fair number of companies to move in the direction of offering pay-as-you-drive," explained Dave Snyder of the American Insurance Association. However, discussions of creating a "usage-based insurance" that would charge people based on not only how many miles they drive but on how they drive are raising privacy concerns, the report states. As one insurance company executive put it, "If you want the freedom of driving aggressively, then this program is not for you." (Registration may be required to access this story.)