Auto Makers are Sharing Driving Info to Insurance Companies – Braking Hard, Accelerating

LexisNexis is a New York-based global data broker with a “Risk Solutions” division that caters to the auto insurance industry and has traditionally kept tabs on car accidents and tickets. Upon Mr. Dahl’s request, LexisNexis sent him a 258-page “consumer disclosure report,” which it must provide per the Fair Credit Reporting Act.

What it contained stunned him: more than 130 pages detailing each time he or his wife had driven the Bolt over the previous six months. It included the dates of 640 trips, their start and end times, the distance driven and an accounting of any speeding, hard braking or sharp accelerations. The only thing it didn’t have is where they had driven the car.

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Numerous people on the forums complained about spiking premiums as a result. A Cadillac driver in Palm Beach County, Fla., who asked not to be named because he is considering a lawsuit against G.M., said he was denied auto insurance by seven companies in December. When he asked an agent why, she advised him to pull his LexisNexis report. He discovered six months of his driving activity, including many instances of hard braking and hard accelerating, as well as some speeding.

A driver who was surprised to discover that he was enrolled in Smart Driver posted a screenshot of his low score to an online forum for Corvette drivers in 2022.Credit…The New York Times

“I don’t know the definition of hard brake. My passenger’s head isn’t hitting the dash,” he said. “Same with acceleration. I’m not peeling out. I’m not sure how the car defines that. I don’t feel I’m driving aggressively or dangerously.”

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In response to questions from The New York Times, G.M. confirmed that it shares “select insights” about hard braking, hard accelerating, speeding over 80 miles an hour and drive time of Smart Driver enrollees with LexisNexis and another data broker that works with the insurance industry called Verisk.

Customers turn on Smart Driver, said Ms. Lucich, the G.M. spokeswoman, “at the time of purchase or through their vehicle mobile app.” It is possible that G.M. drivers who insisted they didn’t opt in were unknowingly signed up at the dealership, where salespeople can receive bonuses for successful enrollment of customers in OnStar services, including Smart Driver, according to a company manual.

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The Cadillac owner in Florida said he had not heard of Smart Driver and never noticed it in the MyCadillac app. He reviewed the paperwork he signed at the dealership when he bought his Cadillac in the fall of 2021 and found no mention of signing up for it.

“When a customer accepts the user terms and privacy statement (which are separately reviewed in the enrollment flow), they consent to sharing their data with third parties,” Ms. Lucich wrote in an email, pointing to OnStar’s privacy statement.

But that statement’s section on “third-party business relationships” does not mention Smart Driver. It names SiriusXM as a company G.M. might share data with, not LexisNexis Risk Solutions, which G.M. has partnered with since 2019.