GM settles California lawsuit alleging it sold auto data to insurance companies

GM became the subject of several lawsuits after the 2024 report in The New York Times to be revealed that car manufacturers, including GM, have been sharing driving data – such as speed, speed, and acceleration – with data brokers and insurance companies, who allegedly adjusted rates using this information.

In compliance with California, GM must provide “clear and transparent” privacy notices about data collection when drivers enroll in OnStar. The operator is also required to delete all driving records involved in the crime and ask for the customer’s consent before collecting or using a person’s driving data.

“Today’s settlement requires General Motors to stop these illegal practices and emphasizes the importance of data reduction in California’s privacy law — companies can’t just use data and then use it for other purposes,” said California Attorney General Rob Bonta in a press release.