New York Times Investigation Exposes GM and OnStar’s Lax Privacy Practices
SAN FRANCISCO, March 14, 2024 /PRNewswire/ — Schubert Jonckheer & Kolbe LLP is investigating automaker General Motors and its OnStar subsidiary for allegedly providing drivers’ sensitive driving data to data brokers and insurance companies without their consent.
According to a recent New York Times investigation, GM is tracking drivers’ mileage, speed, braking, and acceleration. OnStar Smart Driver data includes the dates and start and end times of trips, the distances driven, and a history of any speeding, hard braking, or sharp accelerations.
GM and OnStar then reportedly sell drivers’ data to LexisNexis Risk Solutions, a New York-based global data broker that tracks consumers’ driving records. LexisNexis, in turn, analyzes this data and creates a “risk score,” which it allegedly provides to insurers.
As a result, drivers may see substantial increases to their auto insurance premiums. In some instances, leading insurers have denied drivers auto insurance altogether.
Most concerning, according to the New York Times, GM and OnStar may have failed to adequately disclose that they track drivers and sell their driving data to third parties. OnStar’s privacy policy does not discuss the Smart Driver feature or that the automaker may sell drivers’ data to LexisNexis or provide it to auto insurers to determine rates.
We are actively investigating whether GM, OnStar, and LexisNexis may have violated state and federal laws by selling this highly sensitive data without adequate disclosure or consent. If their practices are found unlawful, you may be entitled to money damages and an injunction requiring changes to the companies’ privacy practices.
If you purchased a GM vehicle (including Chevrolet, GMC, Cadillac, or Buick) and have since seen your auto insurance rates increase (or been denied coverage), please contact us today or visit our website at https://www.classactionlawyers.com/gmprivacy.
About Schubert Jonckheer & Kolbe LLP
Schubert Jonckheer & Kolbe represents shareholders, employees, and consumers in class actions against corporate defendants, as well as shareholders in derivative actions against their officers and directors. Based in San Francisco, the firm litigates cases nationwide.
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Amber L. Schubert
Schubert Jonckheer & Kolbe LLP
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Tel: 415-788-4220
SOURCE Schubert Jonckheer & Kolbe LLP