GM to Handle New Recall by Giving Owners New Ignition Keys

Published: Jun 17, 2014
GM Renaissance Center HDR

General Motors is recalling additional 3.4 million cars in North America due to ignition problems. It said that if the car is driven on a bumpy terrain and the driver’s key chain is too heavy, there’s a real chance the ignition switch to move and change its position.

GM also said that it estimated the recall-related repair charges for the first six months of this year to $2 billion, which is surpasses by $300 million the company’s previous estimates.

Reportedly, only in 2014, GM has recalled more than 20 million vehicles, out of which nine million have ignition problems.

The company also stated that it’s aware that the ignition problems have been linked to six accidents and eight minor injuries. GM said that those are added to the 13 deaths and 54 crashes pinned to the company and its recall of 2.6 million Ions, Cobalts and other small cars with dysfunctional ignition switches.

GM has stated that with this new recall, it will resolve the ignition problem by giving owners new keys or small plastic inserts for their keys. That way the cost will be reduced significantly.

Read the full story at AutoNews.

The following two tabs change content below.
Victor Lance is the founder and president of Lance Surety Bond Associates, Inc. He began his career as an officer in the U.S. Marine Corps, serving two combat tours. As president of Lance Surety, he now focuses on educating and assisting small businesses throughout the country with various license and bond requirements. Victor graduated from Villanova University with a degree in Business Administration and holds a Masters in Business Administration (MBA) from the University of Michigan's Ross School of Business.