GM to pay $220 million over sharing driver data — The Verge

US company General Motors has agreed to pay $220 million as part of a settlement of claims by US states over the sharing of data on drivers’ habits. The agreement also requires the automaker to limit the amount of driving data it collects, The Verge reports.

Claims over the Smart Driver program

The claims concern GM’s now-discontinued Smart Driver program. It collected information about driving behavior, including acceleration, braking and trip duration.

According to the states, GM provided this data to data brokers, allowing insurance companies to purchase the information and raise insurance premiums. The states also accused the automaker of failing to inform drivers about enrollment in Smart Driver and the collection of data.

More current news is available on the UA.News Telegram channel Telegram.

Oregon and Washington led the case

The case against GM was jointly led by Oregon Attorney General Dan Rayfield and Washington State Attorney General Nick Brown. New York, Florida, Michigan, Nevada, Pennsylvania and other states also joined it.

Rayfield said that GM had promised drivers the program would help them drive more safely and would not share data with insurers without permission. According to him, the investigation found that the company sold this data, resulting in higher insurance premiums for some drivers.

Several months earlier, GM agreed to pay $12.75 million to settle similar claims in California.