General Motors has settled a lawsuit in California alleging that it sold driving habit data to insurance companies

GM became the subject of several lawsuits following the 2024 report by New York Times open That automakers, including General Motors, were sharing driving data — such as speed, hard braking, and rapid acceleration — with data brokers and insurance companies, which reportedly adjusted prices based on this information.

Under its settlement with California, GM must provide “clear and conspicuous” privacy notices about data collection when drivers sign up for OnStar. The automaker is also required to delete all driver data covered by the lawsuit and to require customer consent before collecting or using a person’s driving data.

“Today’s settlement requires GM to abandon these illegal practices and underscores the importance of data minimization in California privacy law — companies cannot retain data and use it later for another purpose,” California Attorney General Rob Bonta says in the press release.