Those pictures of you sitting on the hood of your car with a beer in your hand that you posted on Facebook, or the time you had to ask your friends how you got home and used a social media outlet to do it? Either could soon be costing you more on your monthly insurance premiums. Research firm Celent released a report that shows that car insurers may soon be using social networking sites to help underwrite and rate policyholders.
Insurance companies may be planning to get around privacy issues by offering a discount for access to your social media sites or simply by sending a ”friend” request. Statistics show that 65% of adults now use social media. How many of those people have admitted to something that may raise their insurance rates without even realizing it?
The practice would make you wonder where will it stop. Credit scores are already used to assess risk, often forcing the poorest drivers to pay the highest rates. Now, drivers could be forced to pull back from the only free method of expression that some may have. If the companies that give you car insurance quotes can access the info, how long will it be until the police use the same sites to set up stings and monitor the behavior of citizens? One more freedom eroded for the sake of a higher profit.