Privacy Risks in New Internet-Connected Cars in Australia
A recent study has shed light on serious privacy concerns surrounding the data practices of new internet-connected cars in Australia. This revelation underscores the urgent need for reforms in privacy laws to protect consumers.
Modern vehicles are now equipped with internet-enabled features that offer convenience and safety benefits. These “connected cars” can automatically detect accidents, alert emergency services, and even notify drivers if a child is left in the vehicle.
However, the same features that make connected cars convenient also make them sophisticated surveillance devices. The data collected by these vehicles can paint a detailed picture of each driver, posing significant privacy and security risks if misused.
A recent report analyzed the privacy terms of 15 popular car brands that sell connected cars in Australia. The findings revealed concerning practices, including barriers for consumers to access and understand privacy terms, inaccurate claims about certain data not being considered “personal information,” and the repurposing of personal data for marketing and research purposes.
Understanding Connected Cars and Data Transmission
Connected cars in Australia can transmit real-time data about the vehicle, driver, and passengers over the internet to the manufacturer and other entities. Owners or drivers are often required to use a mobile app to access various connected services, such as remotely controlling car functions, checking vehicle status, and accessing cameras for surveillance purposes.
While Australia has been slower in adopting connected car technology compared to other regions, it is projected that by 2031, 93% of new car sales will be connected cars.
The Importance of Data Privacy
The data collected by connected cars can be misused in various ways, including being shared with insurers or data brokers without consent, enabling crimes like stalking and robbery, and even posing national security risks. Recent studies have highlighted the privacy risks associated with connected cars, emphasizing the need for enhanced data protection measures.
In the US, consumers have taken legal action against car manufacturers for sharing driving data with insurers, leading to increased insurance premiums. These incidents underscore the importance of robust privacy laws and regulations to safeguard consumer data.
Recommendations for Privacy Law Reform
The Australian Privacy Act is currently under review, presenting an opportunity to update definitions of personal information and consent, as well as introduce a “fair and reasonable” test for data practices. The government’s proposed privacy law reforms should prioritize consumer privacy and data protection in the era of connected cars.
In the absence of comprehensive privacy law reforms, regulatory guidance and oversight are crucial to ensure that data practices surrounding connected cars are transparent, secure, and compliant with privacy regulations. Consumers should have easy access to privacy terms and choices when purchasing connected cars, and businesses must prioritize the protection of personal data.
Overall, the findings from the report highlight the need for immediate action to address privacy risks in new internet-connected cars in Australia. By implementing reforms and enhancing regulatory oversight, we can better protect consumer privacy in the increasingly connected world of automotive technology.
This article is based on insights from Katharine Kemp, Associate Professor at UNSW Sydney, and originally published on The Conversation.