GM Ends Program that Shared Customer Driving Data with Brokers and Insurance Companies

By
Mitch Talley
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6
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GM Ends Program that Shared Driver Data with Data Brokers and Insurance Companies


Well, that didn’t take long.

We first told you a few days ago of a New York Times story about a lawsuit filed against General Motors by a customer upset that his driving data had been shared with insurers.

Friday, GM announced it has stopped sharing information about braking, acceleration, and speed with a couple of firms that then used that data to produce driver risk profiles for insurance companies.

This week’s decision comes in the aftermath of a recent lawsuit filed by Romeo Chicco, a Florida man who claims sharing his driving data caused his insurance rates to nearly double for his 2021 Cadillac XT6 and furthermore led to his rejection by seven other insurance companies late last year.

The Times reported earlier that GM had been sharing this driver data for years, with some customers saying they were enrolled without their knowledge in OnStar Smart Driver – an app that collected information about their driving habits and promised feedback and digital badges for good driving.

GM responded quickly to the suit, announcing in an emailed statement that since Wednesday, March 20, “OnStar Smart Driver customer data is no longer being shared with LexisNexis or Verisk,” two companies that had generated risk profiles with the information provided by GM.

“Customer trust is a priority for us,” GM spokeswoman Malorie Lucich said in the email, “and we are actively evaluating our privacy processes and policies.”

The Smart Driver program had more than 8 million vehicles registered as of 2022, generating annual revenue for GM in the low millions of dollars, the Times discovered in an internal GM document.


Source:
New York Times (archive.ph)

Related:
GM is Now Facing a Lawsuit for Selling OnStar Driving Data to Insurance Companies and Data Brokers
[VIDEO] Check Your MyChevrolet App to Opt Out of GM Sharing Your Driving Habits with Insurance Companies
[STOLEN] OnStar Leads Police to a C8 Corvette Stolen from a Charlotte Valet Service

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6 COMMENTS

  1. This is just another of GM’s ongoing revenue generation actions to prop up the charity organization known as OnStar–an obsolete, early tech-era monitoring system, long surpassed by the advent of smartphones and apps like Android Auto. OnStar should have been wound down gracefully and shuttered over a decade ago. Instead, GM keeps finding more intrusive and legally questionable ways to continue bankrolling something no car buyer has wanted for at least 10 years.

  4. Damage has been done Alpha Hotels. Your car still records data that can be accessed by a LEO. Also remember that in 2026 all new cars will be required by the gubmint to have all kinds of new spy devices.

  5. You notice the Feds did not require the insurance industry to stop receiving such data. They probably get it from smartphones anyway, so the bases are covered.

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