AUSTIN, Texas — Texas Attorney General Ken Paxton has filed a lawsuit against Allstate Corporation, alleging that the insurance giant, along with its subsidiary Arity, has been collecting and selling location data without consent.
The lawsuit, filed in Austin, claims that Allstate used location data from drivers’ cellphones to influence insurance rate decisions in the state.
The complaint accuses Allstate of accumulating “the world’s largest driving behavior database,” which includes trillions of miles of location information from over 45 million consumers.
The data was reportedly gathered through mobile applications such as Life360 and GasBuddy, without users’ explicit consent.
The lawsuit alleges that Allstate secretly tracked drivers using software embedded in these apps, which was used to monitor driving habits and locations. This information was then allegedly used to adjust insurance premiums upwards, violating Texas consumer protection laws.
The legal action aims to halt the ongoing data collection practices and hold Allstate accountable for past actions. The lawsuit is part of a broader push for greater transparency and fairness in the handling of consumer data, particularly in the insurance industry.
Allstate has yet to provide a detailed response to the lawsuit, but the company is expected to defend its practices, highlighting any steps taken to protect consumer data.
