NEW INVESTIGATION: How Allstate’s data broker Arity sells drivers’ data for targeted ads

Media Contacts
R.J. Cross

Director, Our Online Life Program; and Don't Sell My Data Campaign, PIRG

BOSTON – Texas Attorney General Ken Paxton sued Allstate and its subsidiary Arity on January 13 for allegedly secretly selling consumers’ driving and location data, collected via smartphone apps, to insurance companies. PIRG had been looking into Arity’s practices for several months before the lawsuit and is releasing its findings now.

“Drivers should know that they are Arity’s product. Arity sells access to their data to all sorts of industries, not just insurance companies,” said R.J. Cross, PIRG’s Don’t Sell My Data campaign director. “It’s monetizing millions of people’s data for its targeted advertising side business.” 

Here are 3 findings from PIRG’s new investigation to know:

  • Arity monetizes access to the data of millions of U.S. drivers on online data marketplaces, including the data of 200 million drivers on LiveRamp. Companies can use the data for targeting ads based on when, where and how people drive. 
  • According to Arity, companies can use driving data to make inferences about an individual’s personality and lifestyle, such as determining their work schedule. It has advertised that its driving data can identify commuters, gig drivers, fast food customers and active duty military.
  • Arity’s examples of how companies may want to use its driving data include car dealerships targeting drivers who frequently speed with ads for sports cars, or repair shops targeting ads to high-risk drivers that are more likely to need more frequent or extensive repairs. Another example is targeting ads for productivity software to “busy multitaskers” — people who often check their phone while driving. 

“Arity is correct that where, when and how someone drives can reveal a lot about their lifestyle,” said Cross. “It should drive consumers crazy that Arity collects that data and makes it widely available, especially when those people aren’t expecting it.”

Topics