Between 2011 and 2022, certain KIA and Hyundai models were sold without an engine immobilizer, leaving them vulnerable to theft. The lack of this crucial anti-theft feature made these vehicles easier targets, and the surge in car thefts was exacerbated by social media, where how-to videos demonstrated simple methods to bypass ignition systems. In response to the issue, a class action lawsuit was filed against the manufacturers, accusing them of negligence by omitting the engine immobilizer.
Settlement Overview and Compensation
The KIA-Hyundai Vehicle Theft Settlement provides a fund ranging from $80 million to $145 million to compensate affected owners. Eligible individuals can receive reimbursements for theft-related losses and expenses, as well as a software upgrade to enhance their vehicle’s security.
Eligibility Criteria
To be eligible for the settlement, vehicle owners must have purchased or leased one of the specified models within the United States, including Puerto Rico, the U.S. Virgin Islands, and Guam. The affected models include:
- KIA Forte (2011-2021)
- KIA K5 (2021-2022)
- KIA Optima (2011-2020)
- KIA Rio (2012-2021)
- KIA Sedona (2011-2021)
- KIA Seltos (2021-2022)
- KIA Sorento (2011-2022)
- KIA Soul (2020-2022)
- KIA Sportage (2011-2022)
How to Submit a Claim
To file a claim under the settlement, follow these steps:
- Check Vehicle Eligibility: Use your Vehicle Identification Number (VIN) on the official settlement website to verify your vehicle’s eligibility.
- Gather Documentation: Collect proof of ownership, details of any theft or attempted theft, and receipts for related expenses.
- Complete the Claim Form: Access the claim form online or request a paper form. Fill it out with all required details.
- Submit the Claim: Submit your completed form either online or by mail to the designated address.
Settlement Timeline
- Lawsuit Filed: 2022
- Preliminary Settlement Agreement: Mid-2023
- Preliminary Approval by Court: Late 2023
- Opt-Out and Objection Deadline: May 3, 2024
- Final Approval Hearing: July 15, 2024
- Claim Submission Deadline: January 11, 2025
- Claims Processing and Distribution: After January 2025
Compensation Breakdown
Compensation for Theft or Attempted Theft
- Vehicle Loss: Up to 60% of the vehicle’s Black Book value for theft.
- Damage from Theft: Up to $3,375 or 33% of the damage cost per incident, including stolen personal property.
Reimbursements for Additional Expenses
- Up to $375 for insurance deductibles.
- Coverage for increased insurance premiums after a theft claim.
- Up to $250 for transportation, towing, and penalties.
- Up to $250 for lost income and childcare expenses.
Software Upgrades and Key Fobs
- Free software upgrade for enhanced anti-theft security.
- Reimbursement for OEM key fobs needed for the upgrade, capped at $350 per fob (maximum of two key fobs per vehicle).
Anti-Theft Device Installation
- Reimbursement for steering wheel locks, glass breakage alarms, or similar devices, up to $300 per vehicle. Additional reimbursements for other devices are capped at $250.
Conclusion
The KIA-Hyundai Vehicle Theft Settlement aims to address the financial impact on owners of affected vehicles by offering compensation for theft-related losses, reimbursements for extra expenses, and enhanced security upgrades. Eligible individuals must submit their claims by January 11, 2025, to receive the benefits of this settlement.
