**Excerpt:** Millions of Hyundai and Kia owners are eligible for free repairs as part of a settlement addressing inadequate anti-theft technology in their vehicles.
Key Points:
– Settlement affects Hyundai and Kia owners in 35 states.
– Vehicles eligible for repairs date from 2011 to 2022, totaling around 9 million.
– Hyundai and Kia will provide engine immobilizers on future models.
– The companies face potential costs exceeding $500 million for repairs and restitution.
– Social media trends have contributed to a significant rise in vehicle thefts.
Background of the Settlement
A settlement announced by Minnesota’s attorney general will allow millions of Hyundai and Kia owners to receive free repairs for their vehicles. This decision follows concerns raised by several states regarding the lack of proper anti-theft technology in these vehicles, which has made them particularly susceptible to theft.
In 2023, the Highway Loss Data Institute reported that Hyundai and Kia vehicles without engine immobilizers—anti-theft devices standard in other new cars—had a theft claim rate of 2.18 per 1,000 insured vehicle years, compared to 1.21 for the broader industry.
Details of the Settlement
The settlement includes a free repair initiative for eligible vehicles, which could cost Hyundai and Kia over $500 million. The automakers are also required to equip all future vehicles sold in the U.S. with engine immobilizers. Additionally, they will pay up to $4.5 million in restitution to individuals whose vehicles were damaged by theft.
The agreement was reached by 35 states, including major markets such as California, New Jersey, New York, and Pennsylvania. Repairs will be available for models dating back to 2011 and as recent as 2022, impacting approximately 9 million vehicles nationwide.
Rise in Thefts Linked to Social Media
Hyundai and Kia have experienced a significant increase in thefts, particularly since 2021. This surge has been fueled by videos on platforms like TikTok that demonstrate how to steal these vehicles using simple tools. For instance, Minneapolis reported an 836% increase in Hyundai and Kia thefts from 2021 to 2022.
Minnesota Attorney General Keith Ellison stated that the automakers had installed engine immobilizers in vehicles sold in other countries but failed to do so in the U.S., contributing to the rise in thefts and associated crimes.
Implementation of Repairs
Under the settlement, Hyundai and Kia will introduce a zinc sleeve modification to prevent thieves from accessing the ignition cylinder. Eligible vehicle owners will have one year from the notification date to have the repairs completed at authorized dealerships. Repair services are expected to roll out from early 2026 to early 2027.
In a statement, Kia highlighted that this settlement is part of its ongoing efforts to enhance customer security, which includes offering free software upgrades and steering wheel locks to mitigate theft risks.
Hyundai has yet to provide a statement regarding the settlement.
Leave a Reply