General Motors Faces Lawsuits for Allegedly Sharing Driver Data With Insurers | Insurify [Video]

General Motors (GM) is facing lawsuits in four U.S. states for allegedly sharing consumer data with insurers without drivers’ permission or knowledge. The sharing allegedly happened through brokers.

Plaintiffs allege GM violated privacy laws and the Fair Credit Reporting Act by relaying driving data through intermediaries, like LexisNexis and Verisk Analytics, which shared driver reports with insurance companies, according to Law.com.

“We’ve got many, many calls from customers who are very concerned about their data being transmitted to auto insurance companies,” said E. Powell Miller, founding partner of Miller Law in Michigan, in an interview with PropertyCasualty360. “There’s a lot of outrage about their private driving information ending up in an insurance company’s possession and resulting in higher automobile insurance rates.”

The technology in question

The lawsuits specifically focus on data collected through OnStar, a GM subsidiary and telematics system. A March report from The New York Times raised alarms that not all drivers …