Nebraska Sues GM Over Driver Data Privacy

Nebraska Attorney General Mike Hilgers has sued General Motors and its OnStar division, alleging that they unlawfully collected, processed, and sold sensitive driver data from Nebraskans without knowledge or consent. The lawsuit states GM used both telematics systems and mobile apps to track information such as speed, seatbelt usage, location, and driving habits. This data was then sold to third-party brokers, who used it to produce driving scores that were later sold to insurance companies, which used them to adjust rates, deny coverage, or cancel policies without informing customers. GM is also accused of misleading consumers about the necessity of enrolling in OnStar for basic safety features and failing to disclose the extent of data collection. Nebraska seeks civil penalties, restitution, and an injunction to stop these practices. The legal action comes amid broader national scrutiny of automakers' data privacy practices, following investigative reporting.