GM to pay $220 million after selling customer Smart Driver data
General Motors reached a $220 million settlement with Michigan and 35 other states to resolve allegations it violated driver privacy. The company sold customer driving behavior data from its Smart Driver program to insurance companies without obtaining driver consent. This payout follows investigations into how the automaker handled personal data, with specific state allocations including $5.12 million for Wisconsin and $4.5 million for Vermont. Hawaii drivers are set to receive nearly $2.9 million. The settlement addresses claims that the data sales impacted insurance premiums.
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- ✓ General Motors agreed to a $220 million settlement with Michigan and 35 other states.
- ✓ GM sold customer driving behavior data from its Smart Driver program to insurance companies without driver consent.
- ✓ Wisconsin will receive $5.12 million from the settlement.
- ✓ Vermont will receive $4.5 million following a data privacy investigation.
What changed
GM reached a $220 million settlement with 36 states over the illegal sale of driver behavior data to insurers.
Live updates
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General Motors to pay $220 million over sale of Smart Driver data
General Motors reached a $220 million settlement with Michigan and 35 other states to resolve allegations it violated driver privacy. The company sold customer driving behavior data from its Smart Driver program to insurance companies without obtaining driver consent. This payout follows investigations into how the automaker handled personal data, with specific state allocations including $5.12 million for Wisconsin and $4.5 million for Vermont. Hawaii drivers are set to receive nearly $2.9 million. The settlement addresses claims that the data sales impacted insurance premiums.
Why it matters
The case highlights growing scrutiny over how automakers collect and monetize vehicle telemetry. In response to these industry concerns, Ford recently issued a privacy pledge promising not to sell customer driving data to brokers or insurers.
What is confirmed
- General Motors agreed to a $220 million settlement with Michigan and 35 other states.
- GM sold customer driving behavior data from its Smart Driver program to insurance companies without driver consent.
- Wisconsin will receive $5.12 million from the settlement.
- Vermont will receive $4.5 million following a data privacy investigation.
- Hawaii drivers are to receive nearly $2.9 million.
- Ford has pledged not to sell customer driving data to insurers or brokers.
What to watch next
- Details on the distribution of the remaining settlement funds to the other 33 states
- Further regulatory actions regarding vehicle data brokers following Pentagon warnings about troop movements
confidence 100%Sources used for this update (23)
- arstechnica.com — Ars Technica - Serving the Technologist since 1998. News, reviews, and ...
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- Ars Technica — GM to pay $220 million after selling customer Smart Driver data
- FOX 2 Detroit — GM reaches $220M settlement with Michigan, 35 other states
- Reuters — GM to pay $220 million to settle allegations it violated drivers' privacy
- VTDigger — Vermont to receive $4.5M settlement from General Motors following data privacy investigation
- Hawaii News Now — Hawaii drivers to receive nearly $2.9M in settlement over GM data tracking
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