GM to pay $220M to settle driver data privacy claims

General Motors will pay $220 million to settle claims by the attorneys general of 35 states and the District of Columbia that it sold drivers’ location and behavior data to brokers without permission. The attorneys general said the brokers passed the data to insurers, which used it to set and sometimes increase rates.

The settlement requires GM to limit the driving data it collects and to obtain drivers’ express consent before collecting or sharing it. It resolves claims over the automaker’s Smart Driver program, which enrolled millions of drivers from 2016 until GM discontinued it in 2024. Other regulators have also reviewed GM’s handling of driver data.

Attorneys general said GM marketed Smart Driver as a way to improve driving safety but sold the data despite promising not to do so without permission. Many drivers who signed up were also enrolled in GM’s OnStar safety, navigation and diagnostic service.

“People bought a car, not a tracking device,” Oregon Attorney General Dan Rayfield said in a statement. Rayfield’s office and the office of Washington Attorney General Nick Brown led the bipartisan state coalition.

A GM spokesperson said the settlement reinforces other steps the Detroit automaker has taken to strengthen privacy.

“Safer, more helpful and personalized experiences are enabled by connected vehicle data, and GM is committed to being clear about what information is used, how it’s protected, and the choices customers have about what they share,” the spokesperson said.

Insurers such as Allstate, Progressive and Berkshire Hathaway’s Geico use telematics, technology that tracks driving habits, to monitor drivers. The insurers say the technology rewards good driving through lower premiums.

The settlement follows GM’s agreement in May to pay $12.75 million to settle a California investigation into its alleged sale of driver data to two data brokers.

In January 2025, GM agreed with the U.S. Federal Trade Commission not to disclose vehicle geolocation and driver behavior data to consumer reporting agencies for five years.