Theverge GM Settles for $220 Million Over Illegally Selling Driver Data
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- •GM will pay $220 million to settle claims of selling driver data without consent.
- •The Smart Driver program collected sensitive data from millions of drivers from 2016 to 2024.
- •The settlement requires GM to obtain express consent before collecting or sharing driving data.
General Motors (GM) has agreed to pay $220 million to settle allegations from a coalition of 36 state attorneys general regarding the unlawful sale of drivers' private data. The investigation revealed that GM sold sensitive driving and location information collected through its Smart Driver program to data brokers, who then sold it to insurance companies, impacting drivers' premiums. The settlement mandates GM to obtain express consent from customers before collecting or sharing their data. Between 2016 and 2024, millions of drivers were enrolled in the Smart Driver program, which GM marketed as a safety tool but failed to disclose its data-sharing practices. Many drivers were unaware they were enrolled, and some experienced significant increases in their insurance premiums as a result of the data sales. GM has committed to reforming its data privacy practices as part of the settlement.
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