Key Findings Grade C

Root Insurance bases pricing primarily on driving behavior tracked through their smartphone app. While this can benefit safe drivers, the extensive data collection and surveillance aspects raise significant privacy concerns that aren't fully disclosed upfront.

Constant Location Tracking Required Severe

Root requires continuous background location access to track all your driving. The app monitors your location 24/7 to detect trips, even when you're a passenger. Disabling location access may void your coverage or increase rates.

Source: Privacy Policy, Location Data

Phone Usage Monitoring Severe

The app detects when you use your phone while the vehicle is in motion, even if you're a passenger. This data directly impacts your "driving score" and premium, with no reliable way to indicate you weren't driving.

Source: Terms of Service, Data Collection

Algorithm-Based Pricing Black Box Severe

Root's pricing algorithm considers hundreds of data points beyond just driving. The full formula is proprietary, meaning you can't know exactly what behaviors affect your rate or how to improve your score.

Source: Terms of Service, Pricing

Test Drive Data Permanence Moderate

During the "test drive" period, Root collects extensive data that permanently affects your profile. Even if you don't purchase a policy, this data may be retained and could affect future applications.

Source: Privacy Policy, Data Retention

Claims Investigation Access Moderate

When you file a claim, Root can access detailed trip data including speed, braking, and exact routes. This data will be used to evaluate fault and may be shared with other insurers or legal entities.

Source: Claims Policy, Investigation Rights

Third-Party Data Aggregation Moderate

Root combines your driving data with credit information, demographic data, and other third-party sources. You have limited visibility into what external data influences your premium.

Source: Privacy Policy, Data Sources

What This Means for You

Root's business model fundamentally depends on surveilling your driving and phone usage. For genuinely safe drivers who don't mind this trade-off, savings can be substantial. However, the always-on nature of the tracking creates privacy implications that extend beyond insurance.

The opaque algorithm and inability to contest data interpretations (like being marked as using your phone when you're actually a passenger) create frustrating situations. Once you share this data, you have limited control over how it's used, especially if you later decide to switch insurers.

Lowest Rated in Category

Root's extensive surveillance requirements earn it the lowest score among insurtech companies reviewed. The constant location tracking and phone monitoring represent significant privacy trade-offs. Only consider Root if you're extremely comfortable with comprehensive driving surveillance, have predictable driving patterns, rarely use your phone in vehicles (even as a passenger), and prioritize potential savings over privacy. Be aware that data collected during test drives is retained regardless of whether you purchase.