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Usage-Based Car Insurance Raises Privacy Concerns

CONSUMER PRIVACY—U.S.

September 27, 2013

Computerworld reports on a new study out of the University of Denver revealing that pay-as-you-drive insurance plans may pose a potential privacy risk for drivers. Though insurance companies do not collect location data with these plans, the research found that driving habits, including speed, braking and acceleration, mileage and time of travel have the potential to reveal a detailed portrait of a driver’s movement within a specific time period. According to the research paper, “Customer privacy expectations in non-tracking telematics applications need to be reset, and new policies need to be implemented to inform customers of possible risk.”
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