Allstate Defends Analytics Subsidiary in Texas Location Data Lawsuit
Allstate defended the practices of subsidiary data analytics company Arity after Texas Attorney General Ken Paxton’s (R) sued the insurer for the alleged unlawful collection, use and sale of location data from Texans’ cellphones.
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“Arity helps consumers get the most accurate auto insurance price after they consent in a simple and transparent way that fully complies with all laws and regulations," said Allstate in an emailed statement Monday night.
The lawsuit may be the first state enforcement action under a comprehensive privacy law, and alleges the unlawfully collected data was then used to raise insurance rates (see 2501130047).