Hyundai and Kia Reach $200M Settlement With Customers Over Auto Thefts

Do you all remember when Hyundais and Kias were getting stolen from left to right? Well, the two Korean automakers agreed to a consumer class-action lawsuit settlement for $200 million.

Earlier this year, the companies said they would offer software upgrades to 8.3 million U.S. vehicles without anti-theft immobilizers to help prevent the rampant car thefts that came after videos of how to steal the cars went viral on TikTok and other social media platforms.

Roughly 9 million U.S. owners will reap some of the settlement funds, which also includes up to $145 million for out-of-pocket losses for consumers who had cars stolen, lawyers for the owners said.

Hyundai and Kia said they will compensate owners “who incurred theft-related vehicle losses or damage in addition to reimbursement for insurance deductibles, increased insurance premiums, and other theft related losses.”

For those that have vehicles that cannot accommodate the security software upgrades, the companies will provide up to $300 for the purchase of steering wheel locks and other theft deterrent or prevention devices, NBC News reported.

“The settlement will provide benefits as soon as possible to those who have suffered out-of-pocket losses,” said Steve Berman, a lawyer representing owners.

The consumer settlement is for owners of 2011 through 2022 model year Hyundai or Kia vehicles with a traditional “insert-and-turn” steel key ignition system and it includes payments for total loss of vehicles up to $6,125, damage to vehicle and personal property up to $3,375 as well as insurance-related expenses.

Other related expenses are also eligible under the settlement, such as car rental, taxi or other transportation costs that insurance companies did not cover. Owners can also get reimbursed for towing costs and for stolen vehicles that suffered crashes or were never recovered, and payments for tickets or other penalties or fines incurred from their vehicle being stolen.