The latest models of cars have some of the basic functions a smartphone can do like use navigation or music apps. They already come with internet connectivity, which in many ways, makes them convenient. However, that also means that it might golf your data and maybe even share it with other providers.

Cadillac Owner Claims He Didn't Approve

The Cadillac XT6 owner, Romeo Chicco filed a complaint against General Motors as well as data broker LexisNexis Risk Solutions filed, after finding out that his driving data had been shared without his knowledge, affecting the charge he gets for auto insurance.

As it turns out, GM has been recording his driving movements, including the distance he has driven, the time between trips, speed during travel, acceleration, and even hard braking. All of it came up when he requested his file from the data broker.

LexisNexis Risk Solutions kept the data for insurers to use as a factor in providing auto insurance. With Chicco's record, he was rejected by seven different companies and was charged almost twice as much when he finally did get insurance, as per The New York Times.

The complaint was filed in the US District Court for the Southern District of Florida, and it accuses the companies of violating his privacy and consumer protection laws, on top of causing his insurance rates to significantly increase.

After calling both involved companies why his data was collected, GM said that he was enrolled in the automaker's connected services company, OnStar, which has a Smart Driver Program. It was meant to provide drivers feedback and even give out digital badges for good driving.

Chicco claims that he never enrolled with such services and that he only downloaded the Cadillac app for his car. The company allegedly failed to tell him how he enrolled. "You can tell me how many times I hard-accelerated on Jan. 30 between 6 a.m. and 8 a.m., but you can't tell me how I enrolled in this?"

Read Also: 5 Tech Gadgets that New Drivers Should Have

GM Admits to Selling Data to Insurers

The automaker already admitted that there are instances when driver data is collected and sold to third parties. GM spokesperson Malorie Lucich said that customers enrolled for the SmartDriver in the car app at the dealership, which has customers agreeing to the OnStar privacy clause.

The clause explains that driver data can be shared with third parties, and in Chicco's case, LexisNexis Risk Solutions. GM also clarified that the service was optional to customers, and that they have the option to opt out of Smart Driver any time.

GM is not the only car company that offers such programs that grade drivers based on how they operate their vehicles. According to Forbes, Hyundai also has this feature and suggests better driving habits so they may get a better rate at insurers.

To avoid being part of any program that might record your driving data, it's best to ask what the services you're being asked to enroll in are for. It would also prevent a lot of headaches if you read the contract to see what agreeing to join would mean for your data and what it could affect.

Related: FCC Criticizes Car Tracking via Native Apps As Abusive Partners Use It for Stalking