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Arizona AG Secures $220 Million Settlement with GM Over Unauthorized Driver Data Sharing

ArizonaIP & Technology
Arizona AG Secures $220 Million Settlement with GM Over Unauthorized Driver Data Sharing

Arizona Attorney General Kris Mayes announced Thursday that General Motors (GM) will pay $220 million to settle allegations that the automaker illegally sold private driver‑behavior and location data to third‑party data brokers and insurance companies.

The settlement stems from GM’s Smart Driver program, which enrolled millions of drivers from 2016 to 2024. Although marketed as a safety tool, the program collected detailed trip information and, according to the AG’s office, was sold without drivers’ express consent.

How the Data Was Collected and Sold

Drivers were signed up for Smart Driver at dealerships, often alongside OnStar services. In many cases, dealership staff accepted the program’s terms on the customer’s behalf. GM’s internal systems failed to notify participants, and an OnStar app error mistakenly told over 370,000 drivers they were not enrolled when they actually were.

Data brokers then sold the information—such as drive frequency, start and end times, rapid braking, acceleration, and speed‑limit violations—to insurers, who used it to adjust premiums.

Key Figures from the Settlement
$220 millionTotal settlement amount
$5.9 millionArizona's share
370,000Drivers mistakenly told they were not enrolled
2016‑2024Period Smart Driver was active

Source: Arizona Attorney General

Key Settlement Terms

Under the agreement, GM must limit future data collection, implement a comprehensive privacy program, and obtain affirmative, express consent before gathering or sharing driving or location data. The company also faces oversight and training requirements for its dealerships.

Arizona will receive $5.9 million of the total settlement. The deal was coordinated with a coalition of states including Washington, Oregon, Colorado, Connecticut, and many others.

What This Means for Drivers

If you own a GM vehicle that was enrolled in Smart Driver between 2016 and 2024, your driving data may have been shared without your knowledge. While the settlement does not require individual claims, you may want to review any insurance premium changes during that period and request copies of data held about you.

Going forward, GM must ask for clear, written permission before collecting or disclosing any driving or location information. Consumers should watch for privacy notices from GM and its dealers.

When to Seek Legal Help

Anyone who believes they were harmed by the unauthorized data sharing—such as unexpected insurance rate hikes—may wish to consult an attorney to explore possible remedies, especially if the insurer used the data to increase premiums.

What this means: our conclusions

2 Good news1 Risk1 What to watch1 What to do
  1. Good newsStronger Privacy Protections for Drivers

    The settlement forces GM to get clear consent before using location or driving data, which should reduce future privacy violations.

  2. What to watchPotential Insurance Premium Impacts

    Drivers whose data was sold may have seen higher premiums; they should review past bills for unexpected increases.

  3. RiskDealership Incentives Under Scrutiny

    Bonuses tied to enrollment numbers may have encouraged improper sign‑ups, highlighting a need for tighter oversight of sales practices.

  4. Good newsMulti‑State Coordination Shows Power of Coalitions

    Arizona joined a broad coalition of states, demonstrating that collective action can yield sizable settlements against large corporations.

  5. What to doNext Steps for Affected Consumers

    Affected drivers should request their data records from GM and insurers and consider consulting a lawyer if premiums rose because of the shared data.

This article is general information based on Arizona Attorney General and court or agency records available at publication time. It is not legal advice; laws and deadlines differ by state and by case. Published October 29, 2026.

Source: Arizona Attorney General

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