Ways Insurance Tracking Devices Could Be Used to Devalue Claims
Posted on behalf of Gordon & Partners on Apr 26, 2021 in Auto Accidents
Are you part of the good driver discount program provided by your insurance company? If so, do you know that your driving data is being tracked?
Below, Gordon & Partners explain what types of data is being collected and how that data is being commonly used. If you are involved in a car accident, we also explain how the insurance company may use this data to hurt your claim for compensation.
Our legal team is here to help. We offer free initial consultations and are available anytime, day or night to take your call. There is no risk or obligation involved. We do not get paid unless you get paid.
How Your Data is Being Tracked
When insurance companies enroll policyholders into their good driver discount program, they may track and collect your driving data in multiple ways. This includes through:
- A smartphone app that is connected to your vehicle via Bluetooth
- A plug-in device that gets connected to your vehicle’s on-board diagnostics (OBD) port
- Using a tracking device that is already pre-installed in newer vehicles
These tracking devices and apps are essentially plugged into the vehicle’s computer system in order to capture, collect and then transmit any stored information.
Types of Data Being Collected
Not all insurance companies collect the same types of data. This will be based on the insurer program you are a part of and how that data is being collected by them.
Known providers with a good driver discount program include Allstate, GEICO, Liberty Mutual, Nationwide, Progressive, State Farm and USAA. They also have their own method for collecting data.
If you are a part of one of these programs, it is in your best interest to read the fine print and be well-informed about what data your insurance company is tracking when you are behind the wheel.
Types of data that may be collected include:
- Hands-free and handheld phone calls
- Acceleration or deceleration
- Driving speed
- Quick, sharp turns
- Braking fast or suddenly
- Date and time of day
The information your insurance company is capable of tracking can reveal a great deal concerning your driving habits. It could show them whether you are generally a safe and responsible driver or one that often engages in dangerous driving behaviors.
What Are Insurers Doing with Your Data?
There are two important things your insurer can do with the data collected from you. The first is that they will likely consider your driving data during the renewal process. The second is that they may use this data against you to pay less out on a claim than what your damages are worth.
When it comes time to renew your enrollment term, your insurer will examine all of the data to assess if you may still qualify for a driving discount. Based on what they find, you may no longer be eligible for this discount. Worst case scenario, your rates could increase.
The insurance company can also legally submit the data collected about your driving habits if you decide to take legal action after being seriously injured in an accident.
What difference does this data make? Even if the accident was not your fault and caused by another driver’s negligent actions, your driving data may be taken out of context, misinterpreted or used in such a way that makes you appear dishonest or harms your credibility. Credibility is everything in a lawsuit.
This is why it is important to have an experienced West Palm Beach car accident lawyer by your side. Insurance companies are only looking out for themselves at the end of the day. Their goal is to save the company as much money as possible by devaluing or altogether denying claims that may be valid.
Learn More About Your Legal Rights
Our firm is prepared to protect your rights and best interests. Car accident victims who hire legal representation often have a greater chance of recovering more compensation than those who do not.
We have recovered millions of dollars in compensation for Florida residents. You may be eligible to receive compensation to help cover medical expenses, lost wages and other related damages.
Contact us to schedule a risk-free consultation. This initial meeting comes with no obligation to move forward. If your claim has merit and you decide to hire us, there are no upfront fees for our services.