GM compensation program for defective ignition switch gets 4,237 claims

Article by Christian A., on February 16, 2015

As of last week, the compensation program for victims of General Motors’ defective ignition switch had received a total of 4,237 claims: 462 for death, 282 for catastrophic injuries and 3,493 for less-serious injuries requiring hospitalization. While the last day for submission of claims to the compensation program was set on Jan. 31, 2015, claims postmarked by that date will be eligible for review.

For that week, GM received 57 more claims, according to a report from lawyer Kenneth Feinberg, who was tapped by GM to administer the program. So far, Feinberg has determined that 131 claims are eligible for compensation: 52 deaths, eight severe injuries and 71 other injuries, according to the report of the compensation program.

He also has determined 501 claims are ineligible and is still reviewing 1,143 claims. The report also showed that 1,016 claims submitted with the program lacked sufficient paperwork or evidence while 1,446 had no documentation at all.

The American carmaker has allocated, albeit initially, $400 million to cover costs of compensation for claims on behalf of people injured or killed because of the defective ignition switches.

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