GM ignition switch victims’ fund receives 63 death claims in first week
The compensation fund for victims of GM’s defective ignition switches saw 63 death claims and 65 injury claims within its first week, far exceeding the company’s initial fatality count.
Sixty-three death claims and 65 injury claims were filed in the first week of General Motors’ compensation fund for victims of crashes linked to faulty ignition switches, according to Kenneth Feinberg, the lawyer overseeing the programme. The number of death claims is nearly five times the 13 fatalities GM had previously attributed to the defect.
Feinberg began accepting claims on 1 August 2014, with the window for submissions running until the end of December that year. His office confirmed that the number of claims filed does not necessarily reflect the number that will ultimately be approved for compensation. Each claim must be verified to prove the defective ignition switch was the primary cause of injury or death.
GM’s ignition switch defect, which prompted the recall of 2.6 million vehicles earlier in 2014, could cause engines to stall, disabling power steering, power brakes and airbag deployment. The company admitted it had known about the issue for more than a decade before recalling affected models, including the Chevrolet Cobalt, Saturn Ion, Pontiac G5, and others.
Claims far exceed GM’s original fatality count
The 63 death claims filed in the opening week of the fund dwarf the 13 deaths GM had officially linked to the ignition switch problem. Lawyers for plaintiffs and some members of Congress have suggested the true toll could be much higher, with some estimates approaching 100 fatalities. Feinberg’s team will review each case independently, with the first report due later in the year.
GM set aside $400 million to cover compensation, but has told investors the figure could rise by as much as $200 million depending on the volume and eligibility of claims. The fund is not capped, and Feinberg has full authority to determine payouts, which are expected to be generous. For approved death claims, families are likely to receive at least $1 million each, with higher awards possible depending on circumstances such as lost future earnings.
Eligibility and process for claimants
To qualify for compensation, claimants must show that injury or death was primarily caused by the ignition switch defect. The fund is open to drivers, passengers and pedestrians harmed in crashes involving the affected GM vehicles. Claims will be processed on a rolling basis, with payments for eligible cases expected within three to six months of approval.
- Claims must demonstrate the ignition switch defect was the primary cause of injury or death
- Fund open to those affected by 2.6 million recalled GM vehicles
- Submission deadline: 31 December 2014
- Approved claimants must waive the right to sue GM
GM’s handling of the ignition switch crisis has led to Congressional investigations, federal safety probes, and a criminal investigation by the US Department of Justice. The company has responded with sweeping recalls and internal safety reforms, but continues to face scrutiny over the decade-long delay in addressing the defect.
As of mid-September 2014, Feinberg’s office had received more than 100 death claims, and the confirmed fatality count had risen to 19, with the possibility of further increases as claims are reviewed. For further details on the review process and the evolving fatality count, seeGM links 19 deaths to ignition switch defect in recalled cars.