Prohibits property and casualty insurance companies from increasing rates based on geolocation information; provides exceptions; prohibits automobile manufacturers and dealers from collecting, distributing or selling customer GPS data to third parties.
A07597 would add new consumer privacy and insurance restrictions related to vehicle geolocation data. In the insurance law, it would bar property and casualty insurers writing motor vehicle liability policies in New York from using GPS or comparable location-tracking information to raise premiums, add fees, impose penalties, or otherwise increase costs based on a driver’s vehicle use. The bill defines GPS broadly to include factory-installed and aftermarket systems, but it preserves an insurer’s ability to offer discounts for GPS-equipped vehicles and to charge for recovering a lost, misplaced, or stolen vehicle that lacks GPS.
The bill also amends the general business law to limit how motor vehicle manufacturers and dealers may collect and use precise geolocation and driving-behavior data. Absent the consumer’s express prior consent, they would be prohibited from collecting, retaining, disclosing to consumer reporting agencies, or selling sensitive geolocation and driver-behavior data to third parties. If they do collect such data, they must obtain affirmative express consent, provide an opt-out, allow consumers to limit or disable precise geolocation collection where technically possible, and permit consumers to access and delete their data. Violations would be enforceable through a $1,000 civil penalty per violation, with exceptions for disclosures to emergency responders and law enforcement.
The bill’s impact on state law would be to create new statutory privacy rights for vehicle owners and drivers while limiting the use of telematics and location data in auto insurance pricing. It would affect insurers, auto manufacturers, dealers, and consumers by restricting data-driven underwriting and commercial data sharing practices, and it would likely require changes to data collection systems, consent notices, and compliance procedures. The bill would take effect 90 days after becoming law, with immediate authorization for implementing regulations.
Because there is no recorded committee transcript or vote history provided, the general sentiment cannot be measured from formal debate or roll call. Based on the bill’s structure and caption, it appears aimed at consumer protection and privacy, suggesting a pro-consumer policy approach. The main points of potential contention are likely to be whether insurers should be allowed to use telematics and GPS data for pricing, and whether manufacturers and dealers should face broad restrictions on collecting and monetizing connected-vehicle data. Supporters would likely emphasize privacy, consent, and limits on surveillance, while opponents may argue the bill could reduce pricing flexibility, limit innovation, or complicate vehicle safety and data services.
This bill would amend the Insurance Law and General Business Law to prohibit certain uses of GPS and geolocation data in auto insurance and connected-vehicle data practices. It would prevent insurers from using GPS-based driving information to increase rates or impose additional charges, while allowing discounts and limited recovery-related charges. It would also impose consent, opt-out, access, and deletion requirements on motor vehicle manufacturers and dealers that collect precise geolocation and driving-behavior data, and create a $1,000-per-violation civil penalty enforceable by the state.
No committee discussion or voting record is provided, so there is no direct evidence of support or opposition from legislative proceedings. The bill’s framing suggests a consumer-privacy and anti-surveillance orientation, with likely support from privacy advocates and consumer protection interests. Any resistance would likely come from insurers and automotive industry stakeholders concerned about restrictions on telematics-based underwriting and data use.
The central controversy is the use of GPS and connected-vehicle data for insurance pricing and commercial data sharing. Insurers may object to the ban on using geolocation information to raise rates, arguing that telematics can reflect driving risk and support usage-based insurance. Motor vehicle manufacturers and dealers may also object to the consent and deletion requirements, as well as the prohibition on selling sensitive geolocation data to third parties, because these limits could affect data monetization and connected-car services. Supporters are likely to focus on consumer consent, privacy, and preventing hidden surveillance or unfair pricing.