Slowly but surely the General Motors victim compensation plan continues to add new death claims linked to defective ignition switches. This week, as with several previous weeks, the total number of innocent lives lost as a result of the defect increased by two, bringing the new total to 29.
Reuters reports that since the program began accepting claims on August 1 it has received 1,517 claims for deaths and injuries related to the decades-long ignition switch defect.
Of those claims 56 have been deemed eligible for compensation so far; 29 related to deaths and 27 for injuries.
According to the weekly report submitted by Ken Feinberg, the lawyer tasked with heading the plan, the number of claims received for injuries and deaths was up about 11% from one week ago. In the last week, six additional death claims and 132 additional injury claims were submitted.
Claims will continue to be accepted and investigated until December 31.
GM’s initial tally of 13 deaths, which was officially doubled by the number of approved claims last week, only included drivers and front-seat passengers who were killed when their airbags failed to deploy because the ignition had inadvertently been turned off.
Feinberg, who has been given free rein to set eligibility for compensation has said that backseat passengers, as well as passengers in other cars and pedestrians who were harmed by an out-of-control GM vehicle may also submit claims for consideration.
When the fund was launched over the summer, GM said there would be no cap to the claims, but that compensation would be tied to the level of injury and loss experienced. An approved death claim is expected to result in an offer of compensation for at least $1 million, plus payments of $300,000 to surviving family members.
Consumers who suffered life-altering injuries could receive even more when the cost of lifetime medical care, lost earnings power and other factors are considered.
The plan also addresses consumers who faced less-severe injuries. Those who were treated at a hospital or an outpatient medical facility within 48 hours of the accident are eligible for a claim.
The formula for that claim is $20,000 for one night in the hospital; $70,000 for two to seven overnights, $170,000 for eight to 15 overnights, with a maximum of $500,000 for 32 or more overnights. Those treated on an outpatient basis could receive a maximum of $20,000.
The claimants are not obligated to accept the compensation, but if they do take the money they give up their rights to pursue legal action against GM with regard to the ignition defect.
The compensation program covers approximately 1.6 million model-year 2003-2007 recalled vehicles manufactured with an ignition switch defect and approximately 1 million model year 2008-2011 recalled vehicles that may have been repaired with a recalled ignition switch.
Deaths linked to GM ignition-switch defect rise to 29 [Reuters]
by Ashlee Kieler via Consumerist
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