Gm To Pay $220 Million In Driver Data Settlement

A 36-state settlement requires GM to change how it collects and shares driving data after allegations that it sold drivers’ information to data brokers.

General Motors has agreed to pay $220 million to settle allegations that it illegally sold drivers’ location and driving-behavior data to data brokers. The agreement resolves a case brought by attorneys general from 36 US states and requires changes to how GM collects and shares that information, according to TechCrunch and The Verge.

Table of Contents
  1. What the states alleged
  2. What the agreement requires
  3. Earlier action and connected-car context
  4. Sources

What the states alleged

The case centers on Smart Driver, a feature in GM’s connected-car apps that tracked driving behavior. The Verge reports that the data included acceleration, braking and trip length, while TechCrunch says the program also tracked location and seat belt use. GM ended Smart Driver in 2024.

The states alleged that GM passed driver information to data brokers, which then sold it to insurance providers. The Verge reports that the states also accused GM of failing to tell some drivers they had been enrolled in Smart Driver or that their data was being collected. According to the outlet, the information could be used by insurers to raise premiums. Oregon Attorney General Dan Rayfield, whose office co-led the case with Washington’s, said the investigation found that some drivers paid higher premiums.

What the agreement requires

Under the settlement, GM must obtain drivers’ express consent before collecting or sharing their driving and location data, TechCrunch reports. The Verge says the agreement also requires GM to limit the driving data it collects. TechCrunch identifies another requirement: an independent third party must assess GM’s compliance with its privacy program.

GM said the agreement concerns a product it discontinued in 2024 and reinforces changes it has made to its privacy practices. According to TechCrunch, the company says it will no longer sell vehicle information that can be linked to an individual, their location or how they drive, though it may still disclose anonymized data to certain partners. GM has also revised its privacy-policy language and created a consumer-facing Privacy Center, the outlet reports.

Earlier action and connected-car context

The multistate agreement follows other action over GM’s handling of driver information. TechCrunch reports that the Federal Trade Commission finalized an order in January barring GM and its OnStar service from sharing certain consumer data. The Verge reports that GM also agreed to pay $12.75 million to resolve similar claims in California.

The case comes as GM continues to develop connected-vehicle features. TechCrunch reports that the company is adding a personal AI assistant to OnStar and plans to connect vehicle cameras to software for live views and safety recordings. GM has said customers will be able to manage data-sharing permissions for those features, though declining to share data will likely limit access to some of them, according to TechCrunch.

Sources

This story was compiled by AI from the reports below. Read the originals for the full details.