Tomahawk, WI 09/16/2014 (Basicsmedia) – Six Weeks into General Motors Company (NYSE:GM)’s compensation plan for the ill-fated ignition switch menace has seen the automaker acknowledge 6 more deaths. CNBC’s Phil LeBeau reports that 31 cases have already been’ approved for compensation including 19 deaths.
The total claims received by General Motors Company (NYSE:GM) are 445. During an interview on CNBC, GM’s compensation fund administrator, Kenneth Feinberg, pointed out that there are some issues with some of the claims that need to be’ sorted out before being analyzed for compensation.
“We’ve received these claims, some of them are woefully inadequate; no documentation, no signatures, no correct addresses. We are not rejecting those claims; we are finding 31 are eligible, and a reminder are currently being processed,” said Mr. Feinberg.
General Motors Company (NYSE:GM) expects the number of claims to go up in the coming months as more people continue to file their claims. General Motors Company (NYSE:GM) s has also stated that it will accept any determinations made by Feinberg’s team on the compensation of the various claims.
The increase in death claims attributed to the ignition switch menace is expected to result in more costs for the automaker, than earlier estimated. General Motors Company (NYSE:GM) has received a total of 125 claims that resulted in fatalities, but has only approved 19 of them. Fifty-eight of the cases are thought to involve serious injuries with 262 cases on minor injuries.
“Feinberg hopes to resolve more than 90% of the General Motors Company (NYSE:GM)’s ignition cases. The fund payment, by the way, will start in the next 30 to 45 days many of those will be for several million dollars,” said Mr. Lebeau.
General Motors Company (NYSE:GM) stock remained upbeat in the market on Monday trading session going up by 1.08% to close the day at a high of $33.63.
General Motors Company (NYSE:GM) is not entirely out of the hood yet as it continues to face a number of cases related to the handling of the ignition switch problem. The main point of concern is the fact that problems related to the ignition switch were’ detected as early as 2001, but the company only acknowledged them this year.