Rather than simply reporting on app permissions, the new version of McAfee Mobile Security also uses a reputation database to check the possible destinations of data sent by apps.
This helps to prevent data being delivered to adware and spyware networks, according to company officials.
They also pointed out that comScore has found 33% of apps ask for more permissions than they need to perform the stated functions, and that according to the University of California Berkeley 97% of users do not understand the relationship between permissions and risks.
"Android apps can ask for 124 types of permissions - these apps could be invading your privacy and exposing your personal life," said Luis Blando, vice president of engineering, McAfee.
Other features include malware detection, 'safe surfing', SMS filtering, and anti-theft measures.