GM Banned from Selling Driver Data to Insurers
The Federal Trade Commission (FTC) alleges that General Motors (GM) and OnStar collected, used, and sold drivers' precise geolocation data and driving behavior without adequate notification or consent. The FTC issued a proposed order banning GM from selling this data to consumer reporting agencies for five years. This follows a New York Times investigation revealing GM's sale of driving data—including instances of hard braking and speeding—to insurers, leading to increased premiums for drivers. GM claims it has already taken steps to address these issues, including ending its Smart Driver program and ceasing data sales to analytics firms. The FTC's order is subject to a 30-day public comment period.
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