If you’re the owner of a vehicle from Hyundai or Kia, you may be eligible for a one-time payment of up to $3,375 due to security vulnerabilities that have made these models particularly prone to theft. This compensation is part of a $145 million court settlement resulting from a class action lawsuit, which addresses the lack of anti-theft technology in certain vehicles.
However, it’s important to act quickly, as there are deadlines for filing claims, and you don’t want to miss out on this opportunity to be compensated!
Hyundai and Kia: Background of the court settlement
The legal action against the two South Korean automakers arose following numerous complaints from customers who reported that their vehicles lacked adequate anti-theft features, in particular engine immobilizers.
This shortcoming made them easy targets for thieves, leading to a viral trend known as the “Kia Challenge,” where individuals demonstrated how to steal these vehicles using simple tools.
In California, a federal district court ultimately granted preliminary approval for a revised settlement, allowing affected vehicle owners to seek compensation for losses resulting from theft or attempted theft.
Details of the settlement and how to claim your payment
The settlement allocates up to $145 million to compensate affected owners and lessees of over five million vehicles manufactured between 2011 and 2022 that lack essential anti-theft features.
Depending on individual circumstances, eligible claimants can receive payments ranging from $250 to 60% of their car’s black book value. As such, this compensation can help cover losses from theft, insurance deductibles, and increased premiums.
To claim your portion of the settlement, you must submit a formal claim along with proof of ownership. The deadline for filing claims is April 28, 2025, although this date may change due to potential appeals or delays.
Vehicle owners can determine their eligibility and the specific amount they may receive by visiting the official settlement websites. Notifications will also be sent out by mail and email to inform eligible individuals about the claims process.
Additional safety measures versus oil consumption issues
In addition to financial compensation, Hyundai and Kia are taking steps to enhance vehicle security. They are offering free anti-theft software updates and collaborating with law enforcement to distribute steering wheel locks to affected owners. Owners are encouraged to take proactive measures to safeguard their vehicles, such as always locking doors, parking in well-lit areas, and installing alarm systems.
Despite these efforts, however, ongoing issues related to excessive engine oil consumption have surfaced among Hyundai and Kia owners. Many drivers report significant oil usage, leading to engine failures and costly repairs. Although Hyundai has extended warranties to original owners, subsequent buyers often find themselves without coverage, leaving them vulnerable to substantial repair costs.
Owners should act promptly to file their claims for the settlement before the deadline to potentially receive the aforementioned payment amount. Meanwhile, it is important to remain vigilant about vehicle maintenance and security, especially given the lingering issues with oil consumption and engine reliability. The settlement provides a crucial opportunity for affected owners to regain some financial security while also emphasizing the need for continuous improvements in car safety and reliability from these manufacturers.
So, if you do own a Hyundai or Kia vehicle, it is essential to stay informed about your rights and the claims process related to the recent settlement. The potential one-time payment is a great opportunity for those affected by vehicle theft vulnerabilities. Meanwhile, addressing persisting issues such as oil consumption will require vigilance from owners and accountability from the manufacturers. By taking proactive steps, owners can navigate these hurdles and reclaim their peace of mind.