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New Jersey to Receive $8.9 Million From Multistate Settlement Resolving Allegations That General Motors Illegally Sold Consumers' Private Data
TRENTON, New Jersey, Oct. 30 -- New Jersey Attorney General Jennifer Davenport issued the following news release:
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New Jersey to Receive $8.9 Million from Multistate Settlement Resolving Allegations that General Motors Illegally Sold Consumers' Private Data
Insurance Companies Used Information to Raise Rates for Many Drivers
October 29, 2026
TRENTON -- Attorney General Jennifer Davenport and the Division of Consumer Affairs announced today that New Jersey will receive $8.9 million from a multistate settlement resolving allegations that General Motors, Inc. (GM) illegally sold consumers'
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TRENTON, New Jersey, Oct. 30 -- New Jersey Attorney General Jennifer Davenport issued the following news release:
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New Jersey to Receive $8.9 Million from Multistate Settlement Resolving Allegations that General Motors Illegally Sold Consumers' Private Data
Insurance Companies Used Information to Raise Rates for Many Drivers
October 29, 2026
TRENTON -- Attorney General Jennifer Davenport and the Division of Consumer Affairs announced today that New Jersey will receive $8.9 million from a multistate settlement resolving allegations that General Motors, Inc. (GM) illegally sold consumers'private driver behavior data and location information to third parties, including data brokers who sold the data to insurance companies.
The data provided insurers with behaviors of individual drivers, including whether they wore their seat belt, exceeded the speed limit, braked suddenly, or took corners too fast. Insurance companies then used this information to assess drivers and potentially increase their insurance costs.
Attorney General Davenport joined a coalition of 36 attorneys general in the case against GM, which resulted in a $220 million nationwide settlement. The settlement requires GM to obtain affirmative express consent from consumers before collecting or disclosing their driving and location data.
"New Jersey drivers should not have to worry about their insurance rates going up as a result of their personal information being secretly sold to data brokers by the car company and its partners," said Attorney General Davenport. "This settlement holds GM accountable for violating consumers' privacy and contributing to higher insurance costs for many New Jersey families already struggling with affordability."
"GM's actions deprived consumers of their right to know how their personal information is being collected, used, and shared," said Christopher Peterson, Acting Director of the Division of Consumer Affairs. "We will continue to pursue action against businesses that violate the laws protecting consumers from deceptive conduct and privacy invasions."
From 2016 to 2024, GM enrolled millions of drivers in its Smart Driver program, which tracked their driving habits. GM pitched this tool as a way for drivers to improve their own driving safety and told drivers that they would not share their data with insurers without express consent.
However, the coalition found that GM sold this information to data brokers under contracts that specified the data was to be used for insurance products. The data brokers sold the data to insurance companies, who could then change the driver's premium based on their driving habits. GM did not disclose to drivers that their data would be sold for this purpose.
Most customers who signed up for Smart Driver did so at the GM dealership when they bought their car. GM used one sign-up process for drivers to enroll in Smart Driver along with GM's OnStar services. In many cases, dealership employees allegedly accepted terms and conditions on behalf of customers without their consent. At the time, GM was heavily incentivizing dealerships to sign up as many customers for OnStar as possible. Sales employees received bonuses based in part on how many customers they signed up for GM's connected vehicle services and dealerships were ranked based on their enrollment numbers.
GM's own systems failed to notify drivers about whether their data was being tracked. The OnStar app mistakenly told 370,000 drivers that they were not enrolled in Smart Driver, when they actually were enrolled, and GM was collecting and selling their data. GM later quietly unenrolled these 370,000 drivers without telling them about the mistake and left their data with the data brokers and insurance companies.
The data GM sold was personal, identifiable, and specific. Insurers had data showing how many times a person drove their vehicle, the start and end times of each drive, how many times they braked or accelerated quickly, and whether they went faster than the speed limit. As documented in the New York Times, insurance companies then used this information to change rates, sometimes increasing their premiums. After the Times reported on these practices, GM discontinued the Smart Driver program.
In addition to the multimillion dollar monetary payment, the settlement also requires GM to limit the driving data it collects from consumers and protect their personal information going forward as part of a comprehensive data privacy program. The terms secured by the coalition are significantly stronger than any other resolution reached with GM for this conduct, including by mandating internal and external data protection and privacy program assessments. GM also agreed to oversight and training requirements at their dealerships to protect consumers against being enrolled in data collection schemes without their consent.
The case was co-led by Washington and Oregon, assisted by the Executive Committee of Colorado, Connecticut, Delaware, Illinois, Kentucky, Maryland, Minnesota, New Jersey, Utah, and Vermont, and joined by the attorneys general of Alabama, Alaska, Arizona, the District Of Columbia, Florida, Hawai'i, Idaho, Kansas, Maine, Massachusetts, Michigan, Mississippi, Nevada, New Hampshire, New York, North Carolina, North Dakota, Ohio, Oklahoma, Pennsylvania, South Carolina, South Dakota, Virginia, and Wisconsin.
Deputy Attorney General Nikolas Pham and Special Services Deputy Attorney General Kathrine Hedayat, under the supervision of Data Privacy & Cybersecurity Section Chief Thomas Huynh and Assistant Attorney General Kashif T. Chand, within the Affirmative Civil Enforcement Practice Group of the Division of Law, represent the State in the matter. Investigator Aziza Salikhova of the Office of Consumer Protection within the Division of Consumer Affairs conducted the investigation.
View Complaint (https://www.njoag.gov/wp-content/uploads/2026/10/2026.10.29-GM-Complaint-Filed.pdf) | View Consent Judgment (https://www.njoag.gov/wp-content/uploads/2026/10/2026.10.29-Consent-Judgment-Filed.pdf)
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Original text here: https://www.njoag.gov/new-jersey-to-receive-8-9-million-from-multistate-settlement-resolving-allegations-that-general-motors-illegally-sold-consumers-private-data/
Md. A.G. Brown Resolves Civil Rights Investigation With Maryland Association of Realtors for Potentially Discriminatory Provisions in Model Lease
BALTIMORE, Maryland, Oct. 30 -- Maryland Attorney General Anthony G. Brown issued the following news release:
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Attorney General Brown Resolves Civil Rights Investigation with Maryland Association of Realtors for Potentially Discriminatory Provisions in Model Lease
10/29/2026
BALTIMORE, MD - Attorney General Anthony G. Brown announced a settlement with the Maryland Association of Realtors (Association) to resolve his Civil Rights Division's investigation of discriminatory provisions in the Association's General Model Residential Dwelling Lease.
The Civil Rights Division investigated allegations
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BALTIMORE, Maryland, Oct. 30 -- Maryland Attorney General Anthony G. Brown issued the following news release:
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Attorney General Brown Resolves Civil Rights Investigation with Maryland Association of Realtors for Potentially Discriminatory Provisions in Model Lease
10/29/2026
BALTIMORE, MD - Attorney General Anthony G. Brown announced a settlement with the Maryland Association of Realtors (Association) to resolve his Civil Rights Division's investigation of discriminatory provisions in the Association's General Model Residential Dwelling Lease.
The Civil Rights Division investigated allegationsof discriminatory statements in the Maryland Association of Realtors General Model Residential Dwelling Lease (model lease) that its members may use for their clients' residential dwelling leases. The model lease required people with disabilities who use service animals to pay for de-ticking, de-fleaing, and carpet cleaning as a matter of course regardless of whether those services were needed or not. Under federal and state fair housing laws, these fees may only be assessed if the service animal actually caused the type of damage to the unit that would necessitate those services.
When the Civil Rights Division notified the Association of these potentially discriminatory statements in its model lease template, the Association took immediate corrective action and agreed to additional relief to advance the civil rights of Marylanders with disabilities. Under the settlement agreement, the Association will revise language in its model lease to comply with fair housing laws; make restitution by paying $20,000 to support housing services for people with disabilities, which are provided by Maryland's Centers for Independent Living; and paying $10,000 to Economic Action Maryland to provide education to tenants with disabilities throughout Maryland. The Association also agrees to pay a civil penalty of $20,000.
"A service animal is not a pet, and it should not come with extra fees," said Attorney General Brown. "This settlement fixes a lease used across Maryland so renters with disabilities do not pay more for the accommodations they are entitled to under the law."
In making today's announcement, the Attorney General thanked the Civil Rights Division, specifically Division Chief Jonathan Smith, Deputy Chief Rashida Ogletree-George, Assistant Attorney General David A. Prater, and Investigator Muhammad Arsh E Mullah.
The Civil Rights Division was established to protect the rights of Maryland residents and promote equal opportunity across housing, employment, and public services. The Division investigates and remediates violations of civil rights laws. To contact our Civil Rights Division, please email [email protected], or call 410-576-6300 or 888-743-0023 toll-free. Reports of civil rights violations can be made to the Division by completing the Civil Rights Complaint Form.
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Original text here: https://oag.maryland.gov/News/pages/Attorney-General-Brown-Resolves-Civil-Rights-Investigation-with-Maryland-Association-of-Realtors-for-Potentially-Discrimina.aspx
Md. A.G. Brown Announces No Charges Will Be Filed in the September 6, 2026 Fatal Police-Involved Collision in Jessup
BALTIMORE, Maryland, Oct. 30 -- Maryland Attorney General Anthony G. Brown issued the following news release:
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Attorney General Brown Announces No Charges Will Be Filed in the September 6, 2026 Fatal Police-Involved Collision in Jessup
10/29/2026
BALTIMORE, MD - Today, Attorney General Anthony G. Brown announced his decision not to seek charges in the September 6, 2026 fatal police-involved collision that occurred in Jessup, Anne Arundel County, Maryland, and involved the Howard County Police Department (HCPD). An investigation by the Office of the Attorney General found that the subject
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BALTIMORE, Maryland, Oct. 30 -- Maryland Attorney General Anthony G. Brown issued the following news release:
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Attorney General Brown Announces No Charges Will Be Filed in the September 6, 2026 Fatal Police-Involved Collision in Jessup
10/29/2026
BALTIMORE, MD - Today, Attorney General Anthony G. Brown announced his decision not to seek charges in the September 6, 2026 fatal police-involved collision that occurred in Jessup, Anne Arundel County, Maryland, and involved the Howard County Police Department (HCPD). An investigation by the Office of the Attorney General found that the subjectofficer did not commit a crime under Maryland law.
On Sunday, September 6, 2026, at approximately 2:00 a.m., HCPD Police Officer First Class (PFC) officer Amir Parker was on duty operating an unmarked Ford F 150 in the parking lot of a business located in the 7100 block of Montevideo Road in Howard County. While in the parking lot, a white Infiniti Q60 occupied by three individuals, including the decedent Anthony L. Bowers, Jr., struck PFC Parker's vehicle. The driver of the Infiniti briefly stopped before fleeing the scene. Bowers was a passenger in the Infiniti. PFC Parker immediately notified dispatch of the departmental hit and run and, with supervisory authorization, initiated a pursuit of the fleeing vehicle.
PFC Parker activated his lights and sirens and pursued the Infiniti for approximately one mile along Montevideo Road. During the pursuit, he maintained continuous radio communication and reduced speed while clearing an intersection. The pursuit lasted roughly one minute, with PFC Parker's vehicle reaching speeds of approximately 80 miles per hour. As the Infiniti crossed into Anne Arundel County, it left the roadway, struck a concrete retaining wall, and came to rest in the 2100 block of Montevideo Road. An eyewitness reported that the driver appeared to lose control after the vehicle crossed a set of railroad tracks. All three occupants were ejected from the vehicle. PFC Parker arrived at the crash scene approximately twenty seconds after the collision and immediately notified HCPD communications, requesting expedited emergency medical services (EMS). Police officers and EMS personnel rendered aid upon arrival. Two occupants were transported to a nearby hospital. Bowers was pronounced dead at the scene. PFC Parker sustained no injuries.
The Attorney General's Independent Investigations Division (IID) began investigating this fatal police-involved collision on Sunday, September 6, 2026, and concluded its investigation on Tuesday, October 20, 2026. After completing its investigation and evaluating all the available evidence, the Office of the Attorney General has determined that the officer did not commit a crime under Maryland law. Accordingly, the Attorney General has declined to prosecute the officer in this case.
A copy of the IID's detailed investigative findings and analysis of relevant legal issues can be found in its declination report (https://oag.maryland.gov/News/pages/Attorney-General-Brown-Announces-No-Charges-Will-Be-Filed-in-the-September-6,-2026-Fatal-Police-Involved-Collision-in-Jessu.aspx).
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Original text here: https://oag.maryland.gov/News/pages/Attorney-General-Brown-Announces-No-Charges-Will-Be-Filed-in-the-September-6,-2026-Fatal-Police-Involved-Collision-in-Jessu.aspx
Maine A.G. Frey, Coalition Sue Trump Administration for Enabling Fraud and Corruption
AUGUSTA, Maine, Oct. 30 -- Maine Attorney General Aaron Frey issued the following news release:
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Attorney General Aaron M. Frey, Coalition Sue Trump Administration for Enabling Fraud and Corruption
10/29/2026
AUGUSTA - Attorney Aaron M. Frey has joined a coalition of 20 states and the District of Columbia in filing a lawsuit to stop the Trump Administration from gutting the Corporate Transparency Act (CTA) which helps police and prosecutors catch money launderers, fraudsters, and tax cheats.
"It is inexplicable that the Trump Administration wants to change the rules to make it harder
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AUGUSTA, Maine, Oct. 30 -- Maine Attorney General Aaron Frey issued the following news release:
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Attorney General Aaron M. Frey, Coalition Sue Trump Administration for Enabling Fraud and Corruption
10/29/2026
AUGUSTA - Attorney Aaron M. Frey has joined a coalition of 20 states and the District of Columbia in filing a lawsuit to stop the Trump Administration from gutting the Corporate Transparency Act (CTA) which helps police and prosecutors catch money launderers, fraudsters, and tax cheats.
"It is inexplicable that the Trump Administration wants to change the rules to make it harderto catch and prosecute white collar crime," said Attorney General Frey. "The bipartisan law the Administration is trying to dismantle is an effective mechanism for law enforcement to uncover illegal financial schemes and hold wrongdoers accountable. The American people deserve a system where people and corporations are accountable to the law."
The CTA is a bi-partisan, landmark anti-money laundering statute passed in 2021 that requires corporations, LLCs, and similar entities to report identifying information about their beneficial owners to the United States Treasury Department's Financial Crimes Enforcement Network (FinCEN) in order to stop shell companies from hiding their financial transactions from law enforcement. The law created a Treasury database of business owners to enable law enforcement to trace dirty money, track down stolen assets, and uncover bribes and political payoffs.
On March 26, 2025, FinCEN issued a rule which exempted 99.9% of businesses from the law's reporting requirements, making it nearly useless. Then, on August 14, 2026, FinCEN issued a final rule making these exemptions permanent. Finally, when announcing the final rule, FinCEN committed to executing a data purge and deleting all information previously reported by U.S. companies and individuals that are no longer required to report by February 10, 2027.
The states allege violations of the Administrative Procedure Act (APA), the Separation of Powers, and Take Care Clause of the U.S. Constitution. The states seek a court order that vacates FinCEN's new rule and declares it unlawful. Furthermore, the Complaint seeks a court order enjoining FinCEN from implementing or effectuating the data purge.
Joining Attorney General Frey in filing this lawsuit are the attorneys general of Arizona, California, Colorado, Delaware, Illinois, Maryland, Massachusetts, Michigan, Minnesota, Nevada, New Jersey, New Mexico, New York, North Carolina, Oregon, Rhode Island, Virginia, Washington, Wisconsin, and the District of Columbia.
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Original text here: https://www.maine.gov/ag/news-and-library/press-releases/attorney-general-aaron-m-frey-coalition-sue-trump-administration
GM to Pay $220M for Sharing Drivers' Private Data in Case Joined by Maine A.G. Frey
AUGUSTA, Maine, Oct. 30 -- Maine Attorney General Aaron Frey issued the following news release:
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GM to Pay $220M for Sharing Drivers' Private Data in Case Joined by Attorney General Aaron M. Frey
10/29/2026
AUGUSTA - General Motors will pay $220 million to settle allegations that it illegally sold consumers' private driver behavior data and location information to third parties, including data brokers who then sold the data to insurance companies. For many consumers, this data was used by insurance companies in part to set insurance rates.
Attorney General Frey joined a coalition of 36
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AUGUSTA, Maine, Oct. 30 -- Maine Attorney General Aaron Frey issued the following news release:
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GM to Pay $220M for Sharing Drivers' Private Data in Case Joined by Attorney General Aaron M. Frey
10/29/2026
AUGUSTA - General Motors will pay $220 million to settle allegations that it illegally sold consumers' private driver behavior data and location information to third parties, including data brokers who then sold the data to insurance companies. For many consumers, this data was used by insurance companies in part to set insurance rates.
Attorney General Frey joined a coalition of 36attorneys general in the case against GM, and the state will receive $2,840,788 through the settlement. The settlement requires GM to obtain affirmative express consent from consumers before collecting or disclosing consumer driving and location data.
"This settlement serves as a reminder that a customer's personal data is not just some commodity for corporations to sell behind the customer's back," said Attorney General Frey. Without obtaining appropriate consent, General Motors profited by tracking customers' driving habits in order to sell that data to car insurance companies. This practice outrageously intruded on the privacy of drivers in Maine and across the nation."
From 2016 to 2024, GM enrolled millions of drivers in their Smart Driver program, which tracked their driving habits. GM pitched this tool as a way for drivers to improve their own driving safety and told drivers that they would not share their data with insurers without express consent.
However, the coalition found that GM sold this information to data brokers under contracts that specified the data was to be used for insurance products. The data brokers sold the data to insurance companies, who could then change the driver's premium based on their driving habits. GM did not disclose to drivers that their data would be sold for this purpose.
Most customers who signed up for Smart Driver did so at the GM dealership when they bought their car. GM used one sign-up process for drivers to enroll in Smart Driver along with GM's OnStar services. In many cases, dealership employees allegedly accepted terms and conditions on behalf of customers without their consent. At the time, GM was heavily incentivizing dealerships to sign up as many customers for OnStar as possible. Sales employees received bonuses based in part on how many customers they signed up for GM's connected vehicle services and dealerships were ranked based on their enrollment numbers.
GM's own systems failed to notify drivers about whether their data was being tracked. The OnStar app mistakenly told 380,000 drivers that they were not enrolled in Smart Driver, when they actually were enrolled and GM was collecting and selling their data. GM later quietly unenrolled these 380,000 drivers without telling them about the mistake and left their data with the data brokers and insurance companies.
The data GM sold was personal, identifiable, and specific. Insurers had data showing how many times a person drove their vehicle, the start and end times of each drive, how many times they braked or accelerated quickly, and whether they went faster than the speed limit. As documented in the New York Times, insurance companies then used this information to change rates, sometimes increasing their premiums. After the Times reported on these practices, GM discontinued the Smart Driver program.
The settlement also requires GM to limit the driving data it collects from consumers and protect their personal information going forward as part of a comprehensive data privacy program, as well as to delete consumer driving data upon the consumer's request. The terms secured by the coalition are significantly stronger than any other resolution reached with GM for this conduct including by mandating internal and external data protection and privacy program assessments. GM also agreed to oversight and training requirements at their dealerships to protect consumers against being enrolled in data collection schemes without their consent.
The case was co-led by Washington and Oregon, assisted by the Executive Committee of Colorado, Connecticut, Delaware, Illinois, Kentucky, Maryland, Minnesota, New Jersey, Utah, and Vermont, and also joined by the attorneys general of Alabama, Alaska, Arizona, the District Of Columbia, Florida, Hawaii, Idaho, Kansas, Massachusetts, Michigan, Mississippi, Nevada, New Hampshire, New York, North Carolina, North Dakota, Ohio, Oklahoma, Pennsylvania, South Carolina, South Dakota, Virginia, and Wisconsin.
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Original text here: https://www.maine.gov/ag/news-and-library/press-releases/gm-pay-220m-sharing-drivers-private-data-case-joined-attorney
Del. A.G. Jennings Announces $220 Million Settlement With General Motors for Selling Sensitive Driver Data
DOVER, Delaware, Oct. 30 -- Delaware Attorney General Kathy Jennings issued the following news release:
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AG Jennings announces $220 million settlement with General Motors for selling sensitive driver data
October 29, 2026
Attorney General Kathy Jennings has announced that General Motors will pay $220 million to settle allegations that it illegally sold consumers' private driver behavior and location data. The data - collected by GM's OnStar Smart Driver to data brokers who then sold the data to insurance companies - was used by insurance companies in part to set insurance rates for many
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DOVER, Delaware, Oct. 30 -- Delaware Attorney General Kathy Jennings issued the following news release:
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AG Jennings announces $220 million settlement with General Motors for selling sensitive driver data
October 29, 2026
Attorney General Kathy Jennings has announced that General Motors will pay $220 million to settle allegations that it illegally sold consumers' private driver behavior and location data. The data - collected by GM's OnStar Smart Driver to data brokers who then sold the data to insurance companies - was used by insurance companies in part to set insurance rates for manycustomers.
AG Jennings helped lead a coalition of 36 attorneys general in the case against GM. Delaware will receive $4,726,779 through the settlement, which also includes broad injunctive relief including an explicit requirement that GM obtain express consent from consumers before collecting or disclosing driving and location data.
"Delawareans deserve to be able to trust that companies won't illegally share their private data," said Attorney General Kathy Jennings. "Today's settlement ensures that GM won't deceive consumers about its data practices in the future. It also highlights why this year's Delaware Personal Data Privacy Act amendments are so important: they help us stop businesses from selling sensitive data, and they're going to be a crucial tool for us as we continue vigorously protecting Delawareans' data privacy."
From 2016 to 2024, GM enrolled millions of car buyers in its Smart Driver program, which tracked owners' driving habits and location history. GM pitched this tool as a way for drivers to improve driving safety and told drivers that they would not share their data with insurers without express consent.
However, the states' investigation found that GM sold this driver and location information to data brokers under contracts that specified the data was to be used for insurance products. The data brokers sold the data to insurance companies, who could then set premiums based on car owners' driving habits.
Most customers signed up for Smart Driver at a GM dealership when they purchased their car. GM used a single sign-up process for drivers to enroll in Smart Driver along with other OnStar services. In many cases, dealership employees allegedly accepted terms and conditions on behalf of customers without their consent. At the time, GM offered substantial incentives to dealerships to enroll as many customers for OnStar as possible. Sales employees received bonuses based in part on how many customers they signed up and dealerships were ranked based on their enrollment numbers.
GM's systems also failed to notify drivers about whether their data was being tracked. The OnStar app mistakenly told over 370,000 drivers that they were not enrolled in Smart Driver, when they actually were enrolled; GM subsequently collected and sold their data. GM later quietly unenrolled these drivers without informing them about the mistake and left their data with the data brokers and insurance companies.
The data GM sold was personal, identifiable, and specific. Insurers had data showing how many times a person drove their vehicle, the start and end times of each drive, how many times they braked or accelerated quickly, and whether they went faster than the speed limit. Insurance companies could then use this information to change rates, including to increase drivers' premiums. GM discontinued the Smart Driver program in June 2024.
The settlement requires that GM establish a comprehensive data privacy program and limit the driving data it collects. The terms secured by the coalition are significantly stronger than any other resolution reached with GM for this conduct and mandates both board-level oversight and external assessments of GM's data protection and privacy program. GM also agreed to oversight and training requirements at their dealerships to protect consumers against being enrolled in data collection schemes without their consent.
Delawareans can learn more about data privacy rights or submit a complaint at privacy.delaware.gov.
As a member of the executive committee, Delaware worked together with Washington, Oregon, Colorado, Connecticut, Illinois, Kentucky, Maryland, Minnesota, New Jersey, Utah, and Vermont to reach this settlement in which a total of 36 states joined. Read the settlement here (https://attorneygeneral.delaware.gov/wp-content/uploads/sites/50/2026/10/2026-10-29-State-of-Delaware-v.-GM-Consent-Judgment.pdf).
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Original text here: https://news.delaware.gov/2026/10/29/ag-jennings-announces-220-million-settlement-with-general-motors-for-selling-sensitive-driver-data/
Ariz. A.G. Mayes Announces Settlement With GM, Company to Pay $220 Million for Sharing Drivers' Private Data
PHOENIX, Arizona, Oct. 30 -- Arizona Attorney General Kris Mayes issued the following news release:
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Attorney General Mayes Announces Settlement with GM, Company to Pay $220 Million for Sharing Drivers' Private Data
October 29, 2026
PHOENIX--Attorney General Kris Mayes today announced that General Motors will pay $220 million to settle allegations that it illegally sold consumers' private driver behavior data and location information to third parties, including data brokers who then sold the data to insurance companies. For many consumers, this data was used by insurance companies in part
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PHOENIX, Arizona, Oct. 30 -- Arizona Attorney General Kris Mayes issued the following news release:
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Attorney General Mayes Announces Settlement with GM, Company to Pay $220 Million for Sharing Drivers' Private Data
October 29, 2026
PHOENIX--Attorney General Kris Mayes today announced that General Motors will pay $220 million to settle allegations that it illegally sold consumers' private driver behavior data and location information to third parties, including data brokers who then sold the data to insurance companies. For many consumers, this data was used by insurance companies in partto set insurance rates.
"Drivers were enrolled in data tracking without their knowledge," said Attorney General Mayes. "My office will continue to enforce Arizona's consumer protection laws to ensure companies respect the privacy of the people they serve."
From 2016 to 2024, GM enrolled millions of drivers in their Smart Driver program, which tracked their driving habits. GM pitched this tool as a way for drivers to improve their own driving safety and told drivers that they would not share their data with insurers without express consent.
However, the coalition found that GM sold this information to data brokers under contracts that specified the data was to be used for insurance products. The data brokers sold the data to insurance companies, who could then change the driver's premium based on their driving habits. GM did not disclose to drivers that their data would be sold for this purpose.
Most customers who signed up for Smart Driver did so at the GM dealership when they bought their car. GM used one sign-up process for drivers to enroll in Smart Driver along with GM's OnStar services. In many cases, dealership employees allegedly accepted terms and conditions on behalf of customers without their consent. At the time, GM was heavily incentivizing dealerships to sign up as many customers for OnStar as possible. Sales employees received bonuses based in part on how many customers they signed up for GM's connected vehicle services and dealerships were ranked based on their enrollment numbers.
GM's own systems failed to notify drivers about whether their data was being tracked. The OnStar app mistakenly told over 370,000 drivers that they were not enrolled in Smart Driver, when they actually were enrolled and GM was collecting and selling their data. GM later quietly unenrolled these over 370,000 drivers without telling them about the mistake and left their data with the data brokers and insurance companies.
The data GM sold was personal, identifiable, and specific. Insurers had data showing how many times a person drove their vehicle, the start and end times of each drive, how many times they braked or accelerated quickly, and whether they went faster than the speed limit. As documented in the New York Times, insurance companies then used this information to change rates, sometimes increasing their premiums. After the Times reported on these practices, GM discontinued the Smart Driver program.
The settlement also requires GM to limit the driving data it collects from consumers and protect their personal information going forward as part of a comprehensive data privacy program. The terms secured by the coalition are significantly stronger than any other resolution reached with GM for this conduct including by mandating internal and external data protection and privacy program assessments. GM also agreed to oversight and training requirements at their dealerships to protect consumers against being enrolled in data collection schemes without their consent.
Arizona will receive $5.9 million through the settlement. The settlement requires GM to obtain affirmative express consent from consumers before collecting or disclosing consumer driving and location data.
Arizona joins the case co-led by Washington and Oregon, assisted by the Executive Committee of Colorado, Connecticut, Delaware, Illinois, Kentucky, Maryland, Minnesota, New Jersey, Utah, and Vermont, and joined by the attorneys general of Alabama, Alaska, the District Of Columbia, Florida, Hawai'i, Idaho, Kansas, Maine, Massachusetts, Michigan, Mississippi, Nevada, New Hampshire, New York, North Carolina, North Dakota, Ohio, Oklahoma, Pennsylvania, South Carolina, South Dakota, Virginia, and Wisconsin.
A copy of the settlement is available (https://us.list-manage.com/UZLUH99vdhk?e=9153ff6c96&c2id=9a759fc70c6d734a91a2647ef652fab2).
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Original text here: https://www.azag.gov/press-release/attorney-general-mayes-announces-settlement-gm-company-pay-220-million-sharing