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GM settles with 35 states, DC for $220M over Smart Driver data sales

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GoKawiil Brief

General Motors has agreed to pay $220 million to settle a lawsuit brought by attorneys general from 35 states and Washington, D.C. over its sale of Smart Driver driving-behavior data to data brokers, who resold it to insurers. Many drivers said their insurance premiums rose and that they never knowingly consented to sharing the data. This follows a separate FTC settlement finalized in January that barred GM and OnStar from sharing geolocation or driver-behavior data for five years, after which GM discontinued the Smart Driver feature entirely.

Why It Matters

GoKawiil's interpretation of the reporting above, not reported fact.

The size of the payout and the number of states involved signal growing regulatory willingness to punish automakers for quietly monetizing connected-car data without clear consumer consent. Requiring an independent third party to verify GM's compliance, rather than accepting the company's own assurances, suggests regulators distrust self-reporting on privacy matters. This could push other automakers collecting similar driving-behavior data to reassess their data-sharing practices before facing legal action.

Key Takeaways

Source: arstechnica.com, 2026-10-30

Published there as: “GM to pay $220 million after selling customer Smart Driver data”

Read the original report → The summary and analysis above are GoKawiil's own, written from reporting by the source above. Facts and quotes belong to the original publisher.