{"id":313089,"date":"2026-05-13T04:12:18","date_gmt":"2026-05-13T04:12:18","guid":{"rendered":"https:\/\/www.newsbeep.com\/us-ca\/313089\/"},"modified":"2026-05-13T04:12:18","modified_gmt":"2026-05-13T04:12:18","slug":"general-motors-to-pay-out-12-75m-after-selling-california-driver-data","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/us-ca\/313089\/","title":{"rendered":"General Motors to pay out $12.75M after selling California driver data"},"content":{"rendered":"

Are you a California driver who\u2019s owned a General Motors vehicle<\/a> \u2014 Chevrolet, GMC, Buick, Cadillac \u2014 in the last few years? Did you know your private driving habits might have been sold without your knowledge?<\/p>\n

Owing to this breach of privacy, California just hit General Motors with a record privacy penalty to the tune of $12.5 million.<\/p>\n

However, those same California drivers<\/a> are not likely to receive a check in the mail, as this is a civil penalty paid to the state, with no direct consumer payout mentioned in the settlement.<\/p>\n

\"California<\/p>\n

California just hit General Motors with a record privacy penalty to the tune of $12.5 million. REUTERS<\/p>\n

California Attorney General Rob Bonta<\/a> announced that GM has agreed to pay $12.5 million to settle claims it illegally sold the personal and driving data of hundreds of thousands of California drivers to data brokers \u2014 despite GM\u2019s own privacy policy reassuring drivers it would not sell their location or driving data.<\/p>\n

\u201cGeneral Motors sold the data of California drivers without their \u200cknowledge \u2060or consent and despite numerous statements reassuring drivers that it would not do so,\u201d Bonta said in a statement<\/a>.<\/p>\n

\u201cThis trove of information included precise and personal location data that could identify the everyday habits and movements of Californians,\u201d he added.<\/p>\n

The California Post reached out to General Motors, who did not immediately return our request for comment.<\/p>\n

\"The<\/p>\n

The suit claims GM illegally sold the personal and driving data of California drivers to third-party data brokers. Getty Images<\/p>\n

\"California<\/p>\n

California Attorney General Rob Bonta announced that GM has agreed to pay $12.5 million to settle claims. REUTERS<\/p>\n

From 2020 to 2024, GM collected names, contact info, geolocation and driving behavior (think hard braking, acceleration, speed) through its OnStar system \u2014 then sold this data on to third-party companies Verisk Analytics and LexisNexis Risk Solutions, reportedly earning about $20 million in the process.<\/p>\n

Although a 2024 investigation by The New York Times<\/a> found that GM gathered and sold data pertaining to millions of drivers nationwide \u2014 with numerous consumers complaining of spiking insurance premiums<\/a>, likely as a result of this data breach \u2014 GM drivers in California did not see a similar insurance hikes because insurers in the state are prohibited from using driving data<\/a> to set their rates.<\/p>\n

As part of the settlement, subject to court approval, California is also imposing restrictions on the motor company: GM faces a five-year ban on selling consumer driving data to any data brokers and restricting how it uses the data going forward.<\/p>\n

In a statement shared with CalMatters<\/a>, GM rep Charlotte McCoy said, \u201cThis agreement addresses Smart Driver, a product we discontinued in 2024, and reinforces steps we\u2019ve taken to strengthen our privacy practices.\u201d<\/p>\n

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