Families of 21 victims of the GM ignition switch defect so far have been deemed eligible for compensation from General Motors.

Kenneth Feinberg, a lawyer specializing in dispute resolution and hired by General Motors to manage a compensation program for accident victims and surviving families, determined those families  will get a payout, while the remaining cases are still being vetted.  GM has so far acknowledged only 13 fatalities connected to the defective ignition switches, which could be inadvertently shut off when jarred, cutting power to the engine and deactivating air bags.

The compensation program, established by GM to pay claims related to defective ignition switches, won’t limit claim amounts and will include people who have already settled a case with the car maker. GM says claims can be submitted between Aug. 1 and Dec. 31 of this year. There is no fee to file a claim.

The program requires people who are satisfied with their claim’s outcome to waive their right to sue GM. Those who already settled a related case against GM can file a claim, and Feinberg will take that into account and offset any prior payments made by GM. The more clear-cut claims will be processed within 90 days, but it will take 180 days to work through more complicated cases.

Feinberg and not General Motors will determine who is eligible for compensation and how much money they should get. The car company won’t be able to appeal, and the fund is not capped with a monetary limit. Eligible claims will be processed and paid within three to six months after they’re completed.

Some claims will not be eligible for compensation including those involving:

• Driver negligence (e.g. intoxication, speeding, etc.)

• Property damage

• Emotional or psychological harm

Feinberg said he expects the fatality tally to increase as more claims come in, though he wouldn’t give an estimate as to how high. He also declined to speculate how much GM could pay out. The automaker, the largest in the United States, said in July it was setting aside $400 million to $600 million to pay victims.

GM Recall

The Detroit-based automaker in February recalled nearly 3 million of its cars after it acknowledged that switches in the vehicles were prone to shifting, cutting the engine’s power and deactivating airbags and other safety systems.

The defective switches can unexpectedly move to the “accessory” or “off” positions, shutting down the engine and knocking out power steering and brakes. With engines shut off, people can lose control of their cars and crash. If that happens, the air bags won’t inflate.

General Motors has admitted knowing about the problem for more than a decade in small cars such as the Chevrolet Cobalt. Yet it didn’t begin recalling the 2.6 million cars until February.

Feinberg and his team will independently determine the final number of eligible individuals. GM has so far received 125 death claims, and it is not known how many of those claims might be deemed eligible in the coming weeks or months.

Recent figures show 445 claims to the compensation fund have been made so far, including 58 involving serious injury and 262 involving hospitalization. GM has also received 58 claims for serious injuries, including brain damage, pervasive burns, double amputation, paraplegia and quadriplegia. Four of those claims have been deemed eligible. Another 262 claims have been received for lesser injuries that required hospitalization or outpatient treatment, eight of which have been accepted.