Is Your Car Watching You? The Hidden Risks of Driving Data Collection

Many modern vehicles, equipped with internet capabilities, collect detailed data about your driving habits. This includes how fast you drive, how hard you brake, and even the distance and time of your trips. Companies like GM and data brokers such as LexisNexis often use this information to provide insurers with risk scores, potentially impacting your premiums.

While some programs, like GM’s OnStar Smart Driver, are marketed as optional, reports suggest data may still be collected without clear consent. Automakers often bury these details in lengthy privacy policies, making it easy to overlook the implications. Even when drivers agree, they might not fully understand how their data is shared or used.

This shift toward automated driving data raises questions about consent, transparency, and the balance between innovation and privacy. There is however, several steps you can take to make sure your driving data is not being collected and shared to a third party. Check out our article on how to protect your data.

The rise of connected cars has brought convenience and innovation, but it also raises serious privacy concerns. Modern vehicles have evolved into high-tech marvels, equipped with internet connectivity and advanced features like navigation, roadside assistance, and smartphone integration. But beneath these lies an unsettling truth: your car may be collecting detailed data about your driving habits—and that information might not stay private.

Automakers and data brokers like LexisNexis are tapping into connected-car systems to track driver behavior, such as speeding, hard braking, and trip distances. This data is then analyzed and sold to insurers, potentially influencing your premiums. What’s troubling is how often this happens without clear driver consent. Fine print in privacy policies or unclear disclosures can leave many unaware that their every move behind the wheel is being monitored.

For instance, some drivers of GM vehicles reported that driving data was collected even when they hadn’t activated optional features like OnStar Smart Driver. This data-sharing model is increasingly common, with companies insisting they have user permission despite vague consent mechanisms. Insurers are eager to adopt this system, offering usage-based insurance plans that promise personalized rates based on driving habits. While these programs can benefit careful drivers, the lack of transparency raises significant privacy concerns.

The implications are vast: driving data could be used not just for insurance purposes but also for marketing or even law enforcement. The question is, are drivers willing to trade privacy for convenience and potential discounts?

As cars become smarter, understanding the trade-offs of connected technology is crucial. Reviewing your vehicle’s privacy settings, asking questions about data collection practices, and staying informed about your rights are essential steps in navigating this new landscape. The era of connected cars is here, but it comes with strings attached—strings that could impact your wallet and your privacy.