STATE NEWS

Hyundai, Kia to pay millions, offer free repairs in theft settlement

The agreement requires the automakers to install protective parts in eligible vehicles to make them more difficult to steal and provides millions of dollars in restitution to impacted consumers

  • Business

Pennsylvania’s attorney general and a coalition of officials from numerous states have reached a settlement with Hyundai and Kia to address a surge in vehicle thefts caused by a lack of anti-theft technology.

The agreement requires the automakers to install protective parts in eligible vehicles to make them more difficult to steal and provides millions of dollars in restitution to impacted consumers.

The legal action followed a nationwide wave of joy-riding incidents and thefts linked to the “Kia Boyz” phenomenon. Since 2020, viral TikTok tutorials have demonstrated how to exploit a security flaw in certain 2011–2022 models that use physical keys. 

Unlike most competitors, some Hyundai and Kia models lacked engine immobilizers, which let thieves start the engines using a common USB cable after removing a steering column cover.

“This settlement is a big step towards offering peace of mind to Pennsylvanians who should not have to worry about losing their vehicles when they are locked up,” Pennsylvania Attorney General Dave Sunday said.

Under the terms of the settlement, Hyundai and Kia must:

  • Equip all future U.S. vehicles with industry-standard engine immobilizer technology.
  • Offer free zinc-reinforced ignition cylinder protectors to owners and lessees of eligible vehicles.
  • Provide up to $4.5 million in restitution to consumers whose vehicles were damaged by thieves.
  • Pay $4.5 million to the participating states to cover investigation costs.

Eligible consumers have one year from the date of notice to schedule an appointment at an authorized dealership for the free installation of the ignition protector.

Pennsylvania officials are advising residents to book these appointments as soon as possible.

The settlement also offers relief to those who previously received software updates but still experienced a theft or attempted theft on or after April 29, 2025. Those consumers may be eligible for restitution regarding specific related expenses.

While this settlement addresses state-level investigations, several municipal lawsuits against the automakers remain ongoing. 

Class-action lawsuits have also been filed on behalf of thousands of owners who alleged the companies' manufacturing decisions left their vehicles vulnerable.

Pennsylvania joins in the settlement the attorneys general of Connecticut, Minnesota, and New Hampshire (co-leaders), along with California, Delaware, Illinois, Maryland, New Jersey, Nevada, and Washington. Attorney General Dave Sunday joined the final settlement, along with the Attorneys General from Arizona, Colorado, the District of Columbia, Georgia, Hawaii, Iowa, Kansas, Kentucky, Louisiana, Maine, Massachusetts, Michigan, Mississippi, New Mexico, New York, North Carolina, North Dakota, Ohio, Oklahoma, Oregon, Rhode Island, South Dakota, Vermont, and Wisconsin. 

Consumers seeking information on eligibility and claims can visit www.HKMultistateimmobilizersettlement.com.


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