Texas Sues Allstate Over Alleged Illegal Driver Data Collection
The lawsuit accuses Allstate of secretly gathering and monetizing driving data from over 45 million Americans without their consent.
- Texas Attorney General Ken Paxton filed a lawsuit against Allstate, alleging the insurer illegally collected driver data through mobile devices and in-car systems.
- The complaint claims Allstate created the 'world's largest driving behavior database' by paying app developers and vehicle manufacturers to secretly integrate tracking software and sell location data.
- Collected data was allegedly used to justify raising insurance premiums, denying coverage, and selling information to third parties, including other insurers.
- The lawsuit seeks restitution for consumers, civil penalties of up to $10,000 per violation, and the destruction of improperly collected data.
- This marks the first enforcement action under Texas's comprehensive data privacy law, with Paxton emphasizing the need for accountability in protecting Texans' privacy.