GM settles California lawsuit claiming it sold driving habit data to insurance companies

General Motors will pay $12.75 million to settle California claims that it shared or sold driver location and behavior data to brokers and insurers.

As part of the deal, GM must stop selling customer data to brokers for five years and give California drivers more control over OnStar location tracking.

GM will also delete covered data and obtain consent before collecting or using driving data.

The settlement could reshape how automakers handle connected-car data nationwide, especially around location and driving behavior information.