Class action accuses Allstate of spying on 45 million drivers following Texas lawsuit
Following a lawsuit by the state of Texas, Allstate and Arity are now facing a class action lawsuit for allegedly collecting data on over 45 million Americans without their consent. The lawsuit, filed in the Northern District of Illinois by Morgan & Morgan and Clifford Law Offices, accuses the companies of invading the privacy of millions of individuals by collecting their data without prior authorization. According to the complaint, Allstate and Arity developed software that could be integrated into third-party apps to secretly gather consumers’ driving behavior data.
The lawsuit claims that the companies paid millions of dollars to app developers to integrate their software development kit (SDK) into various apps. These developers were further incentivized with bonuses for increasing the size of the data set collected by the software. The collected data included geolocation information, accelerometer data, magnetometer data, and gyroscopic data, providing details such as altitude, longitude, latitude, bearing, GPS time, speed, and accuracy.
The lawsuit alleges that Allstate monetized this extensive collection of data in various ways. The information was reportedly used to deny or drop coverage, justify higher insurance premiums, and sell access to other insurers. Consumers were purportedly unaware of the data collection and the selling of their information, as they never consented to it. The lawsuit was filed on behalf of Demetric Sims, who used the Sirius XM app, one of the apps that reportedly integrated the Arity SDK.
In a joint statement, the law firms representing the plaintiffs expressed their concerns about Allstate’s alleged data collection practices, stating that the company had built the “world’s largest driver database” without the consent of tens of millions of individuals. The lawsuit aims to stop this alleged improper data collection and hold Allstate accountable for its actions, claiming that the company prioritized profits over consumer privacy.
The lawsuit also highlighted the unethical nature of data collection practices, emphasizing that consumers were kept in the dark about the extent of the information being gathered and how it was being used. The complaint mentioned several other apps, including Routely, Life360, GasBuddy, and Fuel Rewards, which integrated the Arity SDK and were part of the data collection efforts.
Overall, the class action lawsuit seeks to address the alleged surveillance and invasion of privacy carried out by Allstate and Arity, holding them accountable for their actions and seeking justice on behalf of the affected consumers. Such lawsuits serve as a reminder of the importance of data privacy and the need for companies to obtain explicit consent before collecting and using individuals’ personal information.
