Texas AG sues General Motors over allegations of unlawful data collection

AUSTIN, Texas - The Texas Attorney General is suing General Motors, claiming they unlawfully collected drivers' data and sold it to companies.
Attorney General Ken Paxton announced the lawsuit on X, formerly Twitter, alleging that GM used false, deceptive and misleading business practices related to its unlawful collection and sale of over 1.5 million Texans' private driving data to insurance companies without their knowledge or consent.
The lawsuit is a result of an investigation into car manufacturers after allegations that companies had improperly collected mass amounts of data about drivers directly from vehicles and then sold that information to other third parties.
According to the release, Paxton alleges that GM used technology installed in most 2015 or newer vehicles to collect, record, analyze and transmit highly detailed driving data about each time a driver used their vehicle. GM is accused of selling this data to several other companies including at least two that generate "driving scores" about the drivers and then sold those scores to insurance companies.
The release says the company deceived its customers by compelling them to enroll in products like OnStar Smart Driver as part of the onboarding process, claiming that failing to do so would lead to the deactivation of their car's safety features.
AG Paxton says customers were actually unknowingly agreeing to GM's collection and sale of their data during that time.
"Our investigation revealed that General Motors has engaged in egregious business practices that violated Texans' privacy and broke the law," Paxton said. "We will hold them accountable."