GM to Pay $220 Million to End Dispute Over Drivers' Data

General Motors will pay $220 million to settle a dispute related to the use of drivers' personal data. The settlement covers claims from 35 U.S. states and the District of Columbia.

According to the investigation, GM shared information about drivers' location and driving style with data companies, which then sold this data to insurance companies. The information obtained in some cases also affected insurance pricing.

The case concerns GM's Smart Driver program, which was used by millions of people between 2016 and 2024. The program was marketed as a service to improve safe driving, but according to the investigation, users' data was sold without their clear consent.

Following the settlement, GM will be required to collect less data and must obtain drivers' consent before using their information or sharing it with third parties.

Source: Reuters