Before You Hand Down That Old Phone, Make Sure You're Not Giving Away Your Personal Information

Mercury Insurance shares five cybersecurity steps families should take before
passing along used electronics

LOS ANGELES, Oct. 22, 2026 /PRNewswire/ -- Mercury Insurance (NYSE/NYSE TX: MCY) is reminding consumers that an old smartphone, tablet, laptop or gaming console may contain more than a few forgotten photos and apps. As families upgrade their electronics and pass older devices along to children, relatives or friends, they could unknowingly be sharing passwords, financial information and access to sensitive personal accounts.

October is Cybersecurity Awareness Month, making it an ideal time to examine an often-overlooked security risk: the personal information left behind on devices that change hands.

"Most people think about protecting their information while they're using a device, but they don't always consider what happens to that information when they're finished with it," said Dustin Howard, Head of Information Security at Mercury Insurance. "An old phone or laptop can hold years of personal information, and simply deleting a few files or applications doesn't mean that information is gone. And always factory reset your device."

Five Steps to Take Before Passing Along Used Electronics

Back up everything you want to keep.

Before resetting a device, save important photographs, contacts, documents and other files to a secure cloud account or external storage device. Verify that the backup is complete and accessible before deleting anything. Consumers should also make sure they can access their accounts and authentication methods from another device.

Sign out and disconnect your accounts.

Smartphones, tablets and computers can remain connected to email, cloud storage, banking applications, shopping accounts and subscription services. Sign out of accounts and remove the device from associated account-management settings when appropriate. Disable device-tracking and activation-lock features according to the manufacturer's instructions so the next user can properly set up the device.

Perform a proper factory reset.

Deleting individual files or uninstalling applications may leave information behind. Use the manufacturer's recommended procedure to erase personal data and restore the device to its original settings. Some older devices and storage systems may require additional steps to securely remove information. When a device cannot be reliably erased, recycling it through a reputable electronics program that offers secure data destruction may be the safer choice.

Don't forget gaming consoles, smartwatches and other connected devices.

Phones and computers aren't the only electronics that store sensitive information. Gaming consoles may retain saved payment methods, purchase histories and account credentials, while smartwatches and other connected devices may contain health, location or personal information. Remove stored data, disconnect linked accounts and follow the manufacturer's reset instructions before transferring ownership.

Give the next user a fresh start.

When passing electronics to children or other family members, establish separate user accounts rather than sharing existing credentials. Review privacy settings, enable appropriate security features and update the operating system before the new owner begins using the device. For younger users, consider parental controls, app permissions and restrictions on purchases or location sharing.

A Small Step That Can Prevent a Big Problem

The risks associated with improperly transferred electronics extend beyond an embarrassing photograph or forgotten message. Devices that remain connected to personal accounts could potentially provide access to email, stored financial information, cloud-based documents and other sensitive records.

That access can also create opportunities for identity theft, unauthorized purchases and account compromises, particularly when older devices lack current security updates.

"Passing along electronics is a great way to save money and get more use out of technology, especially when families are upgrading multiple devices," Howard said. "The important thing is making sure the next person receives a clean device, not access to your digital life. Taking the time to properly prepare electronics for their next owner is a simple habit that can help prevent much bigger problems."

Consumers should also consider the security capabilities of older electronics before putting them back into service. Devices that no longer receive operating system or security updates may be more vulnerable to emerging threats, even after being reset.

Mercury encourages consumers to make digital security part of their regular household routines, particularly when replacing electronics, preparing for holiday gift-giving or donating devices to schools and charitable organizations.

For information about protecting your home and vehicle from cyber threats, visit the Mercury Insurance Resource Center.

About Mercury Insurance

Mercury Insurance (NYSE/NYSE TX: MCY) is a multiple-line insurance carrier predominantly offering personal auto, homeowners, renters and commercial insurance through a network of independent agents in Arizona, California, Georgia, Illinois, Nevada, New Jersey, New York, Oklahoma, Texas and Virginia, as well as auto insurance in Florida. Mercury writes other lines of insurance in various states, including commercial, business owners and business auto, landlord, home-sharing, ride-hailing and mechanical protection insurance.

Since 1962, Mercury has provided customers with tremendous value for their insurance dollar by pairing ultra-competitive rates with excellent customer service, through more than 4,200 employees and a network of more than 6,340 independent agents in 11 states. Mercury has earned an "A" rating from A.M. Best, as well as "Best Auto Insurance Company" designations from Forbes and Insure.com. For more information visit www.MercuryInsurance.com or follow the company on LinkedIn, Instagram or Facebook.

Media interested in receiving updates from Mercury can learn more at the Mercury Newsroom.

SOURCE Mercury Insurance