On December 18, 2019

How Vermont’s DMV makes millions of dollars selling personal information

By Xander Landen/VTDigger

The Vermont Department of Motor Vehicles has been quietly selling the personal data of Vermonters to private companies since at least 2004.

The state agency has made more than $15 million on sales of the data over the past four years, and the practice has raised privacy concerns.

State records show the DMV has given approval to 700 companies and government agencies to purchase or receive personal data about drivers.

In 2015, the DMV made $3.4 million selling the information. From 2016 to 2018, the department brought in $4 million each year. Information about data sales in previous years was unavailable.

DMV officials say the vast majority of the revenue comes from insurance companies and businesses who buy information about their employees’ driving histories.

However, the department has also allowed law firms, private investigators and out-of-state corporations to buy or access personal information about Vermont drivers, including where they live, the cars they drive, their driving records and their criminal histories.

In the past 15 years, the state has allowed 50 private investigation firms to buy driver data, according to a list of the companies the state authorized to purchase the information.

The list also includes a handful of out-of-state companies like Deloitte, an accounting giant, and “the world’s largest consulting firm,” Choicepoint Service Inc., a data aggregator that was bought by risk management and corporate research firm LexisNexis. Another firm,  Aristotle Inc., specializes in “identity and age verification solutions” for the government and private sector.

The personal data the state sells includes information on licenses and vehicle registrations.

The database shows where people live, what cars are registered to them, whether they have criminal records, and their driving histories.

The only information it won’t provide on any condition is driver medical information and Social Security numbers, according to DMV officials. Photographs are also not for sale.

Vermont isn’t the only state whose DMV sells driver information — the practice is reportedly common across the country.

Federal law requires DMVs to provide driver information to government agencies, and sell it to certain businesses including trucking firms, insurance agencies, and vehicle manufacturers.

It also gives states discretion to sell the information to other companies.

The Vermont DMV’s operations director, Michael Smith, said the department follows federal regulations and reviews each request for personal information on an individual basis.

“We collect, and residents of Vermont entrust us with their personal identification and information and we take that very, very seriously,” Smith said.

“We don’t just let anybody have it. We let those that are deemed to have a permissible use have access to the information that is permissible for them to use.”

VTDigger analyzed a list of the roughly 700 companies authorized to purchase data from the Vermont Department of Motor Vehicles since 2004.

The majority of the names on the list obtained by VTDigger include government agencies, local businesses, and private law firms.

While the DMV will sell personal information to some private entities, it refuses to sell to others.

Do you want to submit feedback to the editor?

Send Us An Email!

Related Posts

Dream Maker Bakers will close Dec. 22

December 11, 2024
By Polly Mikula Megan Wagner, owner of Dream Maker Bakers, announced Saturday Dec. 7, that she will be closing her bakery in Killington.  “With a mix of emotions, I’m announcing that Dream Maker Bakers will be permanently closing on December 22, 2024,” she posted on Facebook. “This is something that I have known I wanted…

Long-time Killington clerk is retiring

December 11, 2024
By Curt Peterson No one will ever call Lucrecia Wonsor a “nine-to-fiver.” The veteran Killington clerk (20 years, 4 months) and treasurer (11 years, 10 months) is known for her dedication to her responsibilities, working long hours and some weekends to successfully manage the official and financial affairs of this resort town of about 1,500…

Meet John Neal: Master of a versatile, enjoyable career

December 11, 2024
By Karen D. Lorentz When someone has worked their entire adult life in as many different ski-industry positions as John Neal, it’s not too surprising to hear him say, “The people and the passion for the sport and lifestyle have given me the opportunity to have a career I enjoy.”  Neal grew up in Ludlow,…

Parents complaints about gender curriculum in kindergarten spark concerns from local advocacy groups about censorship

December 11, 2024
By John Flowers/Addison Independent and Mountain Times staff The leadership of the Rutland Area NAACP raised concern over recent developments in neighboring Addison County related to the actions of two Mary Hogan Elementary School parents/guardians who have challenged gender-related instructional materials to educate kindergarten students at the Middlebury school. According to sources, the complaints relate…