Hyundai and Kia are finally opening their checkbooks to settle the score. The two South Korean giants have reached a massive agreement to resolve a long-standing security flaw involving over 7 million vehicles in the United States. The cost of this little oversight? A cool $500 million, intended to silence several class action lawsuits and fix a reputation for being all too easy to steal.
While drivers in Europe and France can breathe easy, thanks to anti-theft features that were strangely absent in the American market, US owners of models like the Kia Sportage and Hyundai Genesis Coupe have spent years as involuntary targets. The flaw, which turned these cars into viral stars for all the wrong reasons, affected vehicles produced between 2011 and 2022.
To remedy the situation, Hyundai is recalling 4 million units, while Kia is calling in 3.1 million. The fix involves a free installation of reinforced galvanized protection for the ignition key cylinders, an upgrade that reportedly supplements previous software patches that apparently didn’t do enough to ruin a car thief’s day. This massive recall campaign is expected to stretch until March 2027.
Beyond the hardware fixes, the settlement includes 9 million to compensate victims of theft or attempted theft and to reimburse states for investigation costs. However, not everyone is cheering. Critics point out that the offered compensation, like the $375 for a botched theft attempt, hardly covers the actual cost of repairs.If there is a silver lining for the Korean group, it’s that they are blissfully exempt from the Takata airbag nightmare currently drowning competitors like Stellantis, BMW, Toyota, and Volkswagen. They may have forgotten a bit of anti-theft metal, but at least their dashboards aren’t scheduled to explode.
Whether this half-billion-dollar settlement is enough to satisfy frustrated American owners remains to be seen, especially since many feel the “generous” payout is more of a insult than a reimbursement.
