General Motors to pay $12.75m settlement for selling drivers’ location and data
Summary
General Motors agreed to pay $12.75 million to settle claims that it sold location and driving data of hundreds of thousands of California drivers without their consent. California officials also restricted GM’s use of this data and banned it from selling such data to brokers for five years.Key Facts
- GM sold location and driving data of many California drivers to two data broker companies.
- This data included exact locations, names, contacts, and driving habits collected through GM’s OnStar system.
- The state’s investigation began in 2023 and included multiple California district attorneys and privacy officials.
- California is imposing civil penalties and a five-year ban on GM selling driving data to brokers.
- GM earned about $20 million from selling this data between 2020 and 2024.
- GM’s privacy policy had stated it would not sell such data, but the company did so without driver consent.
- California insurers cannot use this driving data to raise insurance rates.
- GM has not publicly responded to the settlement news.
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