GM OnStar lawsuit says data collected affects insurance
The FTC accuses General Motors and OnStar of selling location and driving data to third parties. January 19, 2025 — A GM OnStar lawsuit has been settled with the Federal Trade Commission after the agency accused General Motors and OnStar of selling data and driving behavior information to third parties, including consumer reporting agencies. General Motors has long offered OnStar as a service to assist consumers in emergencies and provide hands-free voice assistance as well as real-time traffic and navigation. However, GM and OnStar have also been collecting data that, according to the FTC, "includes precise geolocation data - as often as every three seconds for some users." Every emergency braking, speeding, vehicle location and late-night driving incident is sold to agencies, which use the data to create consumer credit reports. The reports are allegedly used by insurance companies to set insurance rates or even deny coverage altogether. The FTC said GM OnStar filed the lawsuit because GM allegedly failed…
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