In a groundbreaking legal battle that could reshape the insurance industry, two plaintiffs have filed a class action lawsuit against a major corporation and its subsidiaries, accusing them of illegal surveillance and privacy invasion. The complaint was lodged by Heidi Fenton and Ashika Singh in the United States District Court for the Northern District of Illinois on February 12, 2025, targeting The Allstate Corporation and its associated entities.
The plaintiffs allege that Allstate, along with its subsidiaries Arity LLC and others, engaged in unauthorized data collection from millions of Americans. This data, gathered through mobile apps without users' consent, included sensitive information such as location and driving habits. According to the lawsuit, this information was then sold to third parties for profit and used internally to influence insurance underwriting decisions. "Defendants conspired to secretly collect and sell over two trillion miles of driving behavior data," the complaint states, highlighting the vast scale of the alleged operation.
Fenton and Singh argue that their personal data was collected without consent while using popular apps like Life360 and SiriusXM. They claim that Allstate used this data to justify significant increases in their insurance premiums—up to $700 annually for Fenton—and even influenced coverage decisions by other insurers. The plaintiffs assert that these actions violate several federal laws, including the Federal Wiretap Act, Computer Fraud and Abuse Act, Stored Communications Act, and Fair Credit Reporting Act.
The lawsuit seeks damages for affected individuals nationwide whose privacy was allegedly breached by these practices. It also demands injunctive relief to prevent future occurrences. "Plaintiffs seek damages for losses suffered as a result of Defendants’ misconduct," reads the filing. The case underscores growing concerns about digital privacy as technology increasingly intersects with everyday life.
Representing Fenton and Singh are attorneys whose identities remain undisclosed in this document. The case is being overseen by judges at the Northern District of Illinois under Case ID 1:25-cv-01513.