General Motors has acknowledged that more people died in crashes linked to its faulty ignitions than the 13 it originally reported, saying 19 death claims were approved for compensation.
In its first report on processing compensation requests for the problem, GM said it had received claims for 125 deaths, another 58 for crippling injuries and 262 for hospitalisation stemming from ignition-related accidents.
Of those, it has so far determined 31 claims eligible for compensation, including 19 of the death claims.
GM said on Monday (local time) that the rest of the claims are either still awaiting review or are judged deficient and needing more documentation, with independent compensation claims expert Kenneth Feinberg in charge of deciding which claims are valid.
In the base plan announced by Feinberg on June 30, for each eligible death claim, GM will pay a minimum US$1 million (NZ$1.2 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 a decade or more, but only took recall action beginning in February, after hundreds of possible accidents and deaths in the affected cars.
Before Monday the largest US carmaker had only acknowledged 45 accidents and 13 deaths.
AFP
source: newshub archive
