GM ignition-switch deaths rise to 21

  • Breaking
  • 22/09/2014

General Motors has raised the death toll linked to its faulty ignition switches to 21 as compensation claims mount following its long-delayed safety recall of the dangerous cars.

Kenneth Feinberg, the attorney in charge of the independent compensation fund set up by GM, reported the program had received 675 claims as of September 19, including 143 death claims.

Of the total, 37 claims were determined eligible for compensation to date, including 21 for deaths.

A week ago, in his first report on processing compensation requests, there was a total of 445 claims, with 125 filed for deaths. At that time 31 claims were deemed valid, including 19 for deaths.

In the latest tally, the number of claims for hospitalisation or outpatient medical treatment stemming from ignition-related accidents soared to 467 from the week-ago number of 262.

Claims for crippling injuries such as brain damage or double amputation rose by seven claims to 65.

In the base plan announced by Feinberg on June 30, for each eligible death claim, GM will pay a minimum US$1 million (NZ$1.23 million) for the victim, US$300,000 for the surviving spouse and another US$300,000 for each surviving dependent.

Financial and medical treatment compensation of at least US$20,000 will also be offered to those with eligible physical injury claims from an accident.

GM set up the program earlier this year after recalling 2.6 million cars over the problem, in which the faulty ignition could turn off power to a car's power steering and safety airbags while it is in motion.

GM knew about the problem for at least a decade, but only took recall action in February, after hundreds of possible accidents and deaths in the affected cars.

AFP

source: newshub archive