We hear a lot about wearables these days smart watches, glasses, fitness trackers, helmets, and a myriad of other smart devices. These wearables incorporate sensors and chips for data collection, real-time analytics, gamification, and other features. But as the use of wearables increases, so do the concerns about security. Privacy questions arise because the wearables may disclose information about the wearer’s location, health status, or other confidential information. In addition, there is the chance that hackers might tap into the synched iPhone or Android apps, and steal or misuse Personally Identifiable Information (PII) or sensitive medical data.
There are a number of issues that insurers and others who plan to use these devices should consider: What data is being collected? How will the data be used? Is the data encrypted? How strong is the encryption? Can it be shared with other organizations or law enforcement agencies? Encryption is not universally required or provided. Some wearables and related apps come with encryption. But there are many that do not.
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