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Data Breach: Toyota sued for alleged sale of consumers’ information

*A Texas lawsuit claims Toyota illegally shared customer data with Progressive Insurance without their consent, sparking major concerns over automotive privacy violations in the United States

Isola Moses | ÂÌñÏׯÞ

Affected consumers, in a Federal class action lawsuit filed, in Texas, United States (US), have accused Toyota and a telematics affiliate of unlawfully collecting and selling drivers’ vehicle data to Progressive Insurance.

ÂÌñÏ×ÆÞ gathered the suit claimed that Toyota shared “detailed information, such as location, speed, and braking behaviour”, without customer consent, violating privacy laws and consumer rights.

The plaintiff also discovered his driving data had been shared despite opting out of Progressive’s Snapshot programme, sparking broader concerns over in-vehicle data privacy.

A Florida man is suing Toyota Motor Corporation and its data affiliate, Connected Analytic Services (CAS), alleging the companies collected and shared extensive vehicle data without consent, violating privacy laws and enabling Progressive Insurance to access his driving habits.

Report intucated the proposed class action lawsuit, filed in Federal court in Texas, centres around Toyota’s embedded telematics systems—technology in newer vehicles that tracks location, speed, braking patterns, cornering, and more.

It is noted Plaintiff Philip Siefke purchased a Toyota RAV4 XLE, in 2021, and later attempted to sign up for Progressive Insurance in January 2025.

Although he declined to join Progressive’s Snapshot tracking programme, he was stunned to discover the insurer already possessed detailed driving data from his vehicle, the lawsuit alleges.

Siefka stated: “I opted out. They had my data anyway.”

According to the complaint, Siefke learned from a Progressive representative that his data had been sourced from Toyota’s telematics platform—via CAS, a data aggregator affiliated with Toyota Insurance Management Solutions (TIMS), report said.

The leading automobile manufacturer allegedly never provided clear notice that Siefke’s data would be collected and shared.

Instead, Siefke claims he was automatically enrolled in a trial data-sharing programme, with no knowledge of how to opt out.

The lawsuit further said Progressive later confirmed that data had been transferred from CAS

However, a 2022 Toyota press release stated that driver information would be shared only at the express request of the customer.

But Siefke’s experience contradicts that assurance, his attorneys argued.

Legal action seeks damages, policy changes

Meanwhile, the lawsuit is seeking damages and an injunction barring Toyota and CAS from continuing to collect or share driver data without express, informed consent.

It claims class members suffered injury through:

Loss of control and value of their personal driving data

Violations of privacy rights

Increased risk of future data misuse or theft

Progressive, also named in the complaint, did not respond to media requests for comment.

Consumer advocates have also said the case underscores the growing concern over automotive data privacy.

Modern vehicles can track vast amounts of driver behavior—but regulatory oversight has lagged, leaving questions about what carmakers and insurers are allowed to do with that information, according to report.

The outcome of the case could set a significant precedent for data rights in the connected vehicle era, potentially forcing automakers to rethink how they collect and share driver information.

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