GM Compensation Deadline Passes- Where Do We Go From Here?

51 payments for deaths and eight for catastrophic injury have been approved by the compensation fund for claims made to General Motors. The deadline to make claims occurred Sunday night, which caused a last-minute rush of submissions. The night concluded with 4,180 claims of which 1,600 were submitted in January by individuals seeking compensation for the company’s recall of 2.6 million vehicles proved to have had a faulty ignition switch.

GM spokesperson, James R. Cain, says,

The program is achieving our goal of providing just and timely compensation to the families who lost loved ones and those who suffered serious physical injury.”

The cost of the victim’s compensation fund is not expected to surpass the estimate of $600 million. So far, 128 of the claims have been determined eligible for payment and 482 claims have been ineligible. 3,000 claims remain under review.

Deputy administrator of the fund, Camille Biros, says,

We are going to continue our process and are going to afford all the claimants that filed the same opportunity to cure deficient claims and we will work with them… G.M. has not given us a deadline. The expectation is we will be working through at least the late spring.”

GM has announced it will not fight death or injury claims, but will defend itself from stockholders or car owners suing for loss of vehicle value as a result of the ignition switch.

 

Read more here- “GM Ignition Switch Compensation Fun Sees Surge in Claims at Deadline,” (Michael A. Fletcher, The Washington Post)

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Olivia is a graduate of Villanova University where she studied Economics and History, minoring in Gender and Women's Studies. She also has experience working with federal legislatures on health care policy, women's issues, and Internet safety.

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