Montana Attorney General sues GM and OnStar over alleged illegal driver‑data collection and sale
Montana Attorney General Austin Knudsen filed a lawsuit on October 16, 2026 accusing General Motors and its OnStar unit of secretly gathering detailed driving data from millions of vehicles since 2015 and selling it to data brokers and insurers without meaningful consent. The complaint says the data—including GPS, speed, hard braking and seat‑belt status—was used by insurers to raise premiums for affected drivers. GM denies wrongdoing and points to a January 2026 FTC settlement that bans the company from sharing driver data for five years and requires explicit consent for the next twenty years.
Why it matters
The lawsuit adds to GM’s regulatory exposure after the FTC settlement, creating potential additional fines, remediation costs and reputational damage that could affect the company’s earnings and stock price. Investors should monitor the case for any court‑ordered penalties or required changes to GM’s data‑collection practices.
Key facts
- 1Montana filed the lawsuit on October 16, 2026. liveinsurancenews.com
- 2The complaint alleges data was collected from 14 million GM customers. finance.yahoo.com
- 3Data collection began in 2015 and was marketed as a safety and convenience feature. liveinsurancenews.com
- 4The FTC settlement with GM was finalized in January 2026, imposing a five‑year ban on sharing driver data with consumer reporting agencies. liveinsurancenews.com
- 5The settlement also requires GM to obtain explicit, informed consent before collecting or sharing data for the next twenty years. liveinsurancenews.com
- 6GM discontinued its Smart Driver program in April 2024. liveinsurancenews.com
Summary written by AlphAI AI Desk from 2 of 2 sources. Not investment advice. Figures are as stated by the linked sources.