By Toyota North America is now at the center of a legal storm after being named in a class action lawsuit filed in Texas. The case accuses the automaker of sharing personal driving data with third-party entities without proper consent, raising serious questions about privacy in the era of connected vehicles.
The lawsuit originates from a Florida resident, Philip Siefke, who bought a Toyota RAV4 in 2021. During an insurance application process with Progressive, he discovered the company already possessed telemetry data from his car—information he had never knowingly authorized for sharing. The data reportedly came from CAS, a data analytics firm affiliated with Toyota Insurance Management Solutions (TIMS), which had entered into a broader agreement with Toyota in 2022.
The shared data included vehicle location, speed, braking behavior, swerving patterns, and driving style metrics like cornering tendencies. According to the lawsuit, Siefke and other members of the class were enrolled in a data-sharing trial program without their knowledge. They argue that this constitutes a violation of their privacy rights, a devaluation of their personal data, and an increased risk of data misuse or theft.
The legal filing claims these actions resulted in tangible harm. The plaintiffs contend that their personal driving data was treated as a commercial asset, used and exchanged without explicit permission. The implications extend beyond financial loss, touching on the broader issue of consumer autonomy and digital consent in modern vehicles.
This isn’t an isolated incident. In Europe last year, VW’s software arm Cariad accidentally exposed sensitive driver data through an unsecured database. The data, tied to various VW Group vehicles, included location histories and personal patterns that could easily identify where individuals lived, worked, shopped, and socialized. In some instances, the breach even exposed information related to public figures and controversial political personalities.
Modern cars collect enormous amounts of data through built-in telemetry systems, which are designed to feed information back to manufacturers and affiliated services. While consumers can access some of this data through apps or online platforms to monitor their own driving habits or vehicle health, much of the information is quietly aggregated and monetized through partnerships and data brokerage.
Buyers often encounter a mountain of paperwork during the vehicle purchasing process—covering financing, service agreements, insurance bundles, and more. Within these documents, disclosures about data sharing may be buried in fine print, making it easy for consumers to overlook what they’re actually consenting to.
Incentives from insurance providers also complicate the matter. Some offer reduced premiums to drivers who allow their behavior to be monitored via telematics or “black box” devices. However, with newer vehicle models, these data-tracking tools are integrated directly into the car, giving automakers unrestricted access to a goldmine of behavioral insights.
To be fair, manufacturers argue that data collection has practical uses—like improving infrastructure planning, identifying mechanical issues early, or enhancing safety features. But the potential for profit through data resale appears to be tempting enough that consent may not always be properly obtained.
As the case against Toyota unfolds, it may signal the start of broader scrutiny into how carmakers handle consumer data. With vehicles becoming increasingly connected, the boundaries between convenience and intrusion are growing thinner—and drivers are beginning to take notice.