Hyundai and Kia Owners Eligible for Free Anti-Theft Repairs Settlement
Hyundai and Kia owners are eligible for free anti-theft repairs due to a settlement initiated by Minnesota’s attorney general. This comes in response to overwhelming vehicle thefts involving these brands, spurred by social media trends. The settlement represents a culmination of efforts from 35 states, including California, New Jersey, New York, and Pennsylvania.
Background of the Settlement
The settlement addresses the lack of proper anti-theft technology in Hyundai and Kia vehicles. In 2023, the Highway Loss Data Institute revealed that cars without engine immobilizers faced significantly higher theft rates. Specifically, Hyundai and Kia vehicles without this anti-theft feature had a theft claim rate of 2.18 per 1,000 insured vehicle years, compared to 1.21 for the rest of the automotive industry.
Financial Implications
Under the terms of the settlement, Hyundai and Kia are required to provide repairs to all eligible vehicles. The anticipated cost of these repairs could exceed $500 million. Additionally, they are obligated to equip all future models sold in the U.S. with engine immobilizers. The settlement also includes up to $4.5 million in restitution for individuals whose vehicles were stolen or damaged.
Scope of the Settlement
- Eligible vehicles range from models manufactured as early as 2011 to those from 2022.
- Approximately 9 million vehicles sold nationwide fall under this settlement.
The decision to seek action was fueled by a dramatic rise in thefts beginning in 2021, particularly highlighted by viral videos showcasing how easily Hyundai and Kia vehicles could be stolen. Minneapolis reported an astonishing 836% increase in thefts of these vehicles from 2021 to 2022.
Recent Incidents and Legal Actions
Attorney General Keith Ellison led an investigation in early 2023, noting that the absence of engine immobilizers contributed to a wave of theft-related crimes, some resulting in fatalities. At a recent news conference, Ellison emphasized the tragic consequences stemming from this situation, recalling stories from victims impacted by these thefts.
Repair Details and Timeline
Under the settlement, Hyundai and Kia will implement a new zinc sleeve to enhance the ignition cylinder of affected vehicles. This modification aims to deter thieves from using common methods to steal cars. Eligible vehicle owners will have one year from notification to receive repairs at authorized dealerships. Repairs are expected to be available between early 2026 and early 2027.
Kia’s Commitment to Security
Kia has made statements reaffirming its commitment to customer security. The company has already rolled out a free software security upgrade and distributed steering wheel locks to mitigate theft risks. Furthermore, the zinc-sleeve modification will reinforce the ignition systems against these theft methods popularized on social media. Hyundai has yet to respond publicly to the settlement.