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Automakers Hyundai and Kia will offer restitution and free repairs to vehicle owners under a settlement announced on Monday by Illinois Attorney General Kwame Raoul and 34 other attorneys general, alleging the vehicles lacked adequate anti-theft technology.
Under the settlement, both automobile manufacturers will offer free repairs to affected vehicles and provide up to $4.5 million in restitution to eligible consumers whose cars were damaged, Raoul’s office said in a news release.
The vehicles eligible for fixes date as far back as 2011 and as recently as 2022. About 9 million eligible vehicles were sold nationwide.
Thefts of Hyundai and Kia vehicles soared in part because beginning in 2021, videos posted to TikTok and other social media demonstrated how someone could steal a car with just a screwdriver and a USB cable. Minneapolis reported an 836% increase in Hyundai and Kia thefts from 2021 to 2022. Ellison announced an investigation into the automakers in early 2023.
Minnesota Attorney General Keith Ellison said the two companies installed engine immobilizers on cars sold in Mexico and Canada, but not widely in the U.S., leading to car thefts, crimes and crashes that injured and even killed people, including teenagers.
All future vehicles sold in the U.S. will be outfitted with a key piece of technology called an engine immobilizer as part of the agreement.
The settlement also calls for Hyundai and Kia to install a zinc sleeve to stop would-be thieves from cracking open a vehicle’s ignition cylinder and starting the car.
Eligible customers will have one year from the date of the companies’ notice to get the repair at an authorized dealership. The repairs are expected to be available from early 2026 through early 2027.
In separate statements, the automakers said the agreement is one of multiple anti-theft efforts they have taken to help customers.
“Kia is eager to continue working with law enforcement officers and officials at federal, state, and local levels to combat criminal car theft, and the role social media has played in encouraging it, and we remain fully committed to upholding vehicle security,” the company said.
Hyundai said, “We will continue to take meaningful action to support our customers and ensure peace of mind.”
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