Liputan6.com, Jakarta - Hyundai and Kia have announced significant steps to address the surge in vehicle thefts affecting their models in the United States.
In December 17, 2025, the two Korean automotive giants reached a settlement agreement with a coalition of 35 US state attorneys general, in response to the rise in theft incidents fueled by viral social media methods.
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The agreement includes a comprehensive set of solutions, ranging from hardware upgrades to restitution for affected consumers.
The settlement focuses on installing industry-standard anti-theft technology previously missing from millions of Hyundai and Kia vehicles.
Background of the New Settlement
Hyundai and Kia vehicle thefts surged in part because, starting in 2021, videos posted to TikTok and other social media showed 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 and Minnesota Attorney General Keith Ellison announced an investigation into the automakers in early 2023.
The main issue lies in the fact that certain Hyundai and Kia models manufactured between 2011 and 2022 were not equipped with engine immobilizers.
In 2015, only about 26% of Kia and Hyundai vehicles sold in the United States had immobilizers, well below the industry standard of 96% from other manufacturers.
Ellison said the two companies installed engine immobilizers in 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.
"This crisis that we're talking about today started in a boardroom, traveled through the internet and ended up in tragic results when somebody stole those cars," Ellison said at a news conference.
Free Ignition Cylinder Protector Installation
As an integral part of the settlement agreement, Hyundai and Kia will provide free zinc-reinforced ignition cylinder protectors to eligible vehicle owners.
This hardware modification is specifically designed to strengthen the ignition cylinder body, effectively preventing forced removal, a common technique in viral theft videos.
Eligible vehicle owners will begin receiving official notifications in early 2026.
They will have until the end of March 2027 to have these ignition cylinder protectors installed at no cost at authorized dealerships.
It is estimated that the total cost of installing these ignition cylinder protectors on all eligible vehicles could exceed US$500 million.
Engine Immobilizers: The New Security Standard for Hyundai and Kia Vehicles
Hyundai and Kia have committed to making engine immobilizer anti-theft technology standard on all new vehicles sold in the United States going forward.
Immobilizers prevent the vehicle from starting unless the correct electronic key is detected, a feature considered the industry standard in theft prevention.
The lack of immobilizers on certain Hyundai and Kia models manufactured between 2011 and 2022 was a major factor in the surge in thefts.
However, all Hyundai and Kia models starting in 2022 and 2023 are equipped with immobilizers, demonstrating a gradual improvement in security standards.
Compensation for Hyundai and Kia Theft Victims
The settlement agreement also includes restitution payments of up to $4.5 million to eligible consumers whose vehicles were damaged by theft.
This restitution can cover up to $4,500 for a total vehicle loss, $2,250 for a partial loss, and up to $375 for costs related to theft attempts.
To file a claim, claimants must prove that the theft occurred after April 29, 2025, and that their vehicle had received or was scheduled to receive a software update at the time of the theft or attempted theft.
The claim filing deadline is March 31, 2027.