General Motors (GM) has agreed to a $12.75 million settlement over claims that it sold drivers’ location and driving data without consent. This settlement, which is pending court approval, follows accusations that GM misled consumers about its data-sharing practices, despite assurances that such information would not be sold.
The case underscores a growing concern about how automakers collect and monetise consumer data. GM’s OnStar technology, which tracks vehicle location, was used to gather sensitive information that could reveal personal habits and routines. The data was sold to brokers, raising alarms about consumer privacy and the potential misuse of this information in the wider data market.
For UK consumers, this settlement serves as a warning about the risks associated with connected vehicles. As car manufacturers increasingly integrate data collection technologies, drivers may unknowingly be sharing personal information. This could lead to higher insurance premiums if insurers gain access to driving behaviour data, similar to trends observed in the US.
Looking ahead, consumers should be vigilant about privacy policies from car manufacturers and demand transparency regarding data usage. Legislative changes may also emerge as governments respond to growing concerns over data privacy in the automotive sector.
Sources
theguardian.com
