General Motors Company (NYSE:GM) still has a long road ahead to recover from its recall. General Motors recalled over 17 million vehicles so far this year in the U.S. and is now going to recall another 7.6 million cars and trucks. GM said today that it is going to offer at least $1 million for each death determined to have been caused by faulty ignition switches, according to The New York Times.
Compensation expert Ken Feinberg was hired by GM to determine the payouts related to its massive recall. He said that GM agreed that there will be no cap on claim amounts. He also said that the criteria for deciding payouts will be broad, which is a signal there are likely to be additional disbursements beyond the 13th deaths GM has connected to the bad switches. GM also agreed to invoke protection from liabilities involving incidents before the company filed for bankruptcy.
7.6 Million More Vehicles Recalled
?We undertook what I believe is the most comprehensive safety review in the history of our company because nothing is more important than the safety of our customers,? said GM CEO Mary Barra in a statement from the company. ?Our customers deserve more than we delivered in these vehicles. That has hardened my resolve to set a new industry standard for vehicle safety, quality and excellence.?
GM added that among the recalled vehicles, GM is aware of 7 crashes, 8 injuries, and 3 fatalities. The fatal crashes took place between 1997 and 2014 model years. The recalls are related to unintended key rotation in the Chevrolet Malibu, Oldsmobile Intrigue, Olds Alero, Pontiac Grand Am, Chevy Impala, Monte Carlo, Pontiac Grand Prix, Cadillac CTS, and Cadillac SRX.