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Monday, April 30, 2012

''Big Brother Auto Insurance Plans Pose Privacy Concerns''

From New American

"Is saving 30 percent on your car insurance enough to justify granting Big Brother access to your vehicle? That’s the question many consumers and industry analysts are asking, as more auto insurance companies offer new options that calculate premiums based on a person’s driving habits, rather than set variables such as age, gender, and past driving records.
 
Progressive insurance (the company with TV commercials starring "Flo," left) for example, introduced last year its Snapshot Pay As You Drive discount program, which allows drivers to save up to 30 percent on their premiums. The catch is that all insured cars must be fitted with devices that monitor driving habits, such as how fast an individual drives, how often they apply the brakes, and how many miles they drive a week. If a driver has a long daily commute, for example, the discount might be reduced or eliminated altogether."

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