GM to Pay $220 Million in Settlement Over Alleged Sale of Driving Data That Could Affect Insurance Costs

Your insurer may have information about you that you have never seen. You can request it for free, and any mistakes can be challenged.

Millions of drivers joined General Motors’ Smart Driver program over several years believing they were getting safety insights.

According to attorneys general from 35 states and the District of Columbia, GM later sold that driving data to brokers, who shared it with insurers. The insurers then used it to set premium rates and, in some cases, increase them.

GM agreed to pay $220 million in late October to resolve those claims.

There is also a separate file outside GM. LexisNexis, a data company, keeps claims histories that insurers rely on for pricing, and for some drivers it also stores driving behavior data. Federal regulators say consumers can view their file at no cost.

What the file can include

The Consumer Financial Protection Bureau says LexisNexis’ C.L.U.E. reports contain auto, home and personal property claims going back as far as seven years, and that the company also collects driving behavior information used in auto insurance pricing.

A claim from years ago can follow a driver from one insurer to another. The same is true for a claim that never belonged to the driver in the first place.

How to get a copy

LexisNexis offers one free report every 12 months on request. Consumers can ask at consumer.risk.lexisnexis.com, by calling 866-897-8126, or by mailing a request to LexisNexis Risk Solutions Consumer Center, P.O. Box 105108, Atlanta, GA 30348-5108.

Companies that must provide free annual reports are required to respond within 15 days.

When the report arrives, compare each entry with your own records, including dates, amounts, vehicles and names. Look for claims tied to cars you never owned and driving events you do not recognize.

Errors can be disputed with both LexisNexis and the company that supplied the information, and the company must investigate at no charge. If the information is incorrect, the provider must fix it and notify the agencies that received the error.

Request a copy from your automaker

The Federal Trade Commission’s final order against GM and OnStar bars the company from sharing geolocation and driver behavior data with consumer reporting agencies for five years.

For 20 years, GM must obtain affirmative express consent before collecting or sharing connected-vehicle data. It also must give U.S. consumers a way to request a copy of their data and ask for deletion.

That order applies only to GM. Drivers of other brands can check the vehicle settings menu, the companion app and the automaker’s privacy page for data-sharing and opt-out choices.

Insurer telematics programs, in which drivers accept monitoring in exchange for a discount, are a separate issue.

If your premium rises, the insurer must name the report

According to the FTC, if an insurer raises premiums partly or entirely because of a consumer report, it must send an adverse action notice. Even a small role for the report is enough to trigger the notice.

The notice must include the reporting agency’s contact information, your right to dispute the contents, and your right to a free copy of the report if you request it within 60 days.

If a renewal rate climbs without a clear explanation, it is worth asking whether a consumer report played any role and, if so, which agency supplied it.

Re-shop the policy

Correcting a file does not guarantee a lower rate, but it can remove one reason for paying more.

Comparing quotes is often the fastest way to see whether your current insurer is charging more than competitors. Longtime customers can end up paying more than new ones because of price walking, and Money's car insurance page is one place to begin comparing rates.

Keep the C.L.U.E. report, any adverse action notice and your renewal documents together. If the figures do not match, that paperwork becomes your record for a dispute.