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GM recalls 8.4 million more vehicles, announces compensation

new-gm-recallGM recalled another 8.4 million vehicles on Monday, which included more than 8 million for ignition switch defects. The latest recall brings the total vehicles recalled by GM this year alone to 29 million. U.S. News and World Report mentioned that 17.1 million of the recalled vehicles were because of faulty ignition switches.

Some of the latest vehicles recalled date back to 1997 and extend to 2014 models. According to Forbes, vehicles included in the latest recall include the 1997-2005 Chevrolet Malibu, 1998-2002 Oldsmobile Intrigue, 1999-2005 Pontiac Grand Am and 2003-2014 Cadillac CTS.

The Wall Street Journal reported that the automaker admitted it knew of seven crashes, eight injuries and three fatalities involving the cars recalled for the new ignition switch problems. This was essentially the same problem with 2.6 million recalled Chevy Cobalts and other vehicles linked to 13 deaths and 54 accidents.

Apparently the problem is not limited to GM cars. Chrysler announced on Monday that is recalling 696,000 sport utility vehicles and minivans over concerns that the ignition key might turn off the engine.

On Monday, GM also announced that it would not cap the amount it will pay victims of the faulty ignition switch. A victims compensation program will give families a base of $1 million for the death of a loved one, plus $300,000 for each surviving spouse or dependent to try to cover the emotional damages caused by the crashes.

For those who suffered less severe injuries, initial compensation will be based on their time spent in the hospital, starting at $20,000 for a single night up to $500,000 for hospital stays lasting more than a month. More severe injuries will be compensated based on age and earning potential among other factors.

Politico reported that GM has acknowledged some engineers at the company knew about the problem for more than a decade, but an internal investigation found no deliberate cover-up, but rather a company culture that led to frequent buck-passing and poor communication.

Four other recalls announced Monday by GM were for various other problems. Chevrolet Trailblazers were recalled for a defect that can cause door or window failures, as well as fires. The National Highway Transportation Safety Authority (NHTSA) opened an investigation into Trailblazer problems in 2012, after receiving 12 consumer complains, many of which involved fires. By midyear 2012, the safety agency had received more than 240 related complaints and 677 related warranty claims had been filed at GM.

If you have been injured in an accident in a GM vehicle or another vehicle, contact the Pennsylvania personal injury lawyers at Munley Law Personal Injury Attorneys. The Munley Law Personal Injury Attorneys team has more than fifty years of experience in handling auto accident lawsuits, and has won some of the largest auto accident verdicts and settlements in the country. For more information, visit www.munley.com.

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