GM Hit with $12.75 Million Fine for Selling California Driver Data

- GM fined for selling OnStar driver data without customer consent - Five-year ban on personal data sales and mandatory deletion of existing records On May 8, 2026, Reuters reported that General Motors agreed to pay $12.75 million after California authorities found the automaker sold OnStar driver location and driving data to data brokers Verisk Analytics and LexisNexis Risk Solutions without customer consent. According to Reuters, this is the largest penalty issued under the California Consumer Privacy Act and it imposes new limits on data retention. As part of the settlement, Reuters reported that GM must delete any retained driver data within 180 days unless customers explicitly consent, and the company also faces a five-year ban on selling personal consumer data. In addition, Reuters noted that Verisk Analytics and LexisNexis Risk Solutions must delete all previously obtained information connected to the allegations. The settlement therefore increases scrutiny of automotive data privacy practices and sets stricter compliance standards for companies handling personal information. As a result, GM has discontinued the Smart Driver product at the center of the case and stated it will strengthen its internal privacy policies. According to Reuters, this settlement marks the most significant enforcement of the California Consumer Privacy Act to date and prompts automakers and data brokers to review and strengthen their handling of consumer information.