Kia and Hyundai to Pay $200m in Class Action Settlement for Defective Anti-Theft

It’s definitely not a good time if you own a specific brand of car and that brand of car becomes the target of a social media trend that revolves around stealing cars. Yes, this is a very real situation to the extent that entire cities were going after the Kia and Hyundai automotive manufactures in a court of law because of an astronomically high rate of theft.

Owners of both Kia and Hyundai vehicles that have gotten their car stolen are now able to receive settlement funds. The $200 million distribution from the manufacturers is designed to settle a “nationwide rash of thefts.”

The suit alleges that cars from these manufacturers built between 2011 and 2022 didn’t have immobilizers. This is technology that will shut down the car when there is no key inside. When this was discovered, quick and easy methods to steal these cars had gone viral and unfortunately lots of folks took the opportunity to put this information to use.

$145 million of the settlement will go directly to reimburse owners who have had their vehicle stolen or damaged. Other ways that the manufacturers have stepped in to try and make things right include a free security software upgrade and the distribution of 65,000 steering wheel locks. It seems like the folks at Kia and Hyundai are working overtime to do some damage control here.

The suit also helps pay insurance deductibles and increased insurance premiums for anybody who has been impacted by the situation.

While we are sure that the defendant would like a situation like this to be an easy open and close where they can just pay for the stolen cars and move on, things get much more complicated than that. With the video below, YouTube lawyer, Steve Lehto, lays out the roadmap and explains where the mess of a situation currently stands.