QuestionQ4

Privacy in Technology

Which of the following illustrates a privacy risk associated with the Internet of Things (loT)?

  • A A group of hackers infiltrate a power grid and cause a major blackout.
  • B An insurance company raises a person's rates based on driving habits gathered from a connected car.
  • C A website stores a cookie on a user's hard drive so the website can recognize the user on subsequent visits.
  • D A water district fines an individual after a meter reading reveals excess water use during drought conditions.
Explanation

IoT devices can collect detailed personal behavioral data. Using driving habits gathered from a connected car to change an individual’s insurance rates is a privacy risk because personal data is used to make a consequential decision about that person.

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