Skip to main content

Privacy and tracking claims are likely to reach a tipping point

Privacy will be a continued and exacerbated theme for 2024, particularly in the US, where more privacy and tracking claims are anticipated. This is less of a global issue for now, but we continue to track developments in other jurisdictions where class action mechanisms are in place; for example, we have seen an increase in data privacy class actions in Australia.  Fortunately, most other global markets are still protected from mass litigation and class action litigation thanks to “loser pays” rules and a general reluctance of the courts to open the floodgates to mass litigation.

In addition to the aforementioned suits arising out of generative AI, we anticipate that facial recognition tools will also be in the hot seat in US courts. This will likely include more claims under the Illinois Biometric Information Privacy Act (BIPA) related to facial scanning, as well as an increase in geolocation claims due to vehicle tracking. 

With large-scale privacy-focused class actions, plaintiffs will look to find a hook with old statutes that provide for statutory damages, like federal and state wiretapping laws and the Video Privacy Protection Act (VPPA). As the year progresses with more decisions from the courts being made, hopefully some potential class actions will be curtailed.

line drawing
It’s a pivotal time for privacy issues. With the lack of fines from regulators, coupled with recent and upcoming enforcement actions, this is a good time to stay close to your cyber insurer. We're here to help ensure you're educated about the issues and prepared for their potential implications.
Andrew Girman

Cyber Services Manager - Philadelphia

Data presented in this Cyber Services Snapshot is derived from global incidents reported to Beazley between 2021 and 2023.