Judge Rules Against General Motors Acceptance Company

03/12/96

The Associated Press reported that a GM subsidiary, General Motors Acceptance Co., has overcharged consumers for insurance and will have to repay them more than $4.3 million. A Sacramento County Superior Court Judge found that GMAC had violated a fair business law in the way it bought car insurance for customers whose policies had lapsed. The judge found that GMAC unfairly bought coverage for longer than most customers needed and refunded less than what they promised to refund when customers obtained new insurance.

Paul Dever -- The Auto Channel