Facebook Stops Insurance App From Acquiring User Information To Determine Eligibility

Facebook, the biggest social media network in the world and is known for its notorious data mining habit, is preventing insurance company Admiral from doing the same thing. The company was supposed to launch an app that UK users could sign up for and learn more about its services. However, Facebook found out that the insurance carrier would then collect information from users to determine their eligibility as clients, which is why they shut it down.

The Facebook app that Admiral was meant to launch would have also come with the condition to ask users for permission to take a gander at their posts and the things they gave Likes to, BBC reports. This would have then allowed the company to determine the driving habits of new motorists, which would allow them to assess their prospects as new clients.

Anyone who is considered a low-risk prospect would be provided a discount by Admiral. When the app was set to launch, however, Facebook stepped in.

The app will still be accessible to those who want to sign up and take a look at their offers, but the company would not be able to look at the posts and Likes of the users. This is to protect the privacy of its users, a spokesperson for Facebook said.

"Protecting the privacy of the people on Facebook is of utmost importance to us. We have clear guidelines that prevent information being obtained from Facebook from being used to make decisions about eligibility," the spokesperson said. “Our understanding is that Admiral will then ask users who sign up to answer questions which will be used to assess their eligibility."

On that note, Tech Crunch also pointed out that Facebook itself has a service that ranks the eligibility of users via a social graph. The graph is able to assess things like credit worthiness, so it’s not much of a stretch to assume that insurance eligibility would also be on the list.