Kia and Hyundai will pay more than $200 million settlement over class action from owners

Author: Yuvi May 20, 2023

Kia and Hyundai have agreed to settle a class-action lawsuit worth around $200million over rampant car thefts of the Korean automakers’ vehicles.

The lawsuit was launched by owners of Hyundai or Kia vehicles who said their cars were easy to steal after a spurt of thefts was inspired by a Tik Tok trend.

Videos went viral showing how you could start the Kia and Hyundai without push-button ignitions and immobilizing anti-theft devices using just a USB cable.

The settlement covers around nine million US owners and includes up to $145 million for out-of-pocket losses for those who had their cars stolen.

It includes payments for total loss of vehicles up to $6,125, damage to vehicle and personal property up to $3,375 and insurance-related expenses.

Kia and Hyundai have agreed to settle a class-action lawsuit worth around $200million over rampant car thefts of the Korean automakers’ vehicles which were inspired by a Tik Tok trend

The lawsuit was launched by owners of Hyundai or Kia vehicles who said their cars were easy to steal after a spurt of thefts.

The lawsuit was launched by owners of Hyundai or Kia vehicles who said their cars were easy to steal after a spurt of thefts.

The settlement covers around nine million US owners and includes up to $145 million for out-of-pocket losses for those who had their cars stolen.

The settlement covers around nine million US owners and includes up to $145 million for out-of-pocket losses for those who had their cars stolen.

Hyundai and Kia said they will compensate owners ‘who incurred theft-related vehicle losses or damages in addition to reimbursement for insurance deductibles, increased insurance premiums, and other theft related losses.’

For customers whose vehicles cannot accommodate security software upgrades, the Korean automakers will provide up to $300 for the purchase of steering wheel locks and other theft deterrent or prevention devices.

“The settlement will provide benefits as soon as possible to those who have suffered out-of-pocket losses,” said Steve Berman, a lawyer representing the owners.

‘Our goal in finalizing this settlement was to leave no one in the dark.

‘The owners of these cars have experienced enough upset, and we worked to achieve a settlement that covers many types of losses – from those who were lucky enough to have never had their theft-prone car stolen, to those whose stolen cars were totaled completely due to Hyundai and Kia’s negligence.

Other related expenses including car rental, taxi or other transportation costs not covered by insurance are also included by the settlement.

And anti-theft software will be added to vehicles automatically at any dealership service appointment.

A TikTok video posted in the US shows how to start a Kia using only a USB cable

A TikTok video posted in the US shows how to start a Kia using only a USB cable

The car thefts were sparked by a Tik Tok trend in which users showed off how to steal Kia and Hyundai vehicles that lack basic security features.

The car thefts were sparked by a Tik Tok trend in which users showed off how to steal Kia and Hyundai vehicles that lack basic security features.

Owners can get reimbursed for towing costs and for stolen vehicles that suffered crashes or were never recovered, as well as payments for tickets or other penalties or fines incurred arising from a stolen vehicle.

The car thefts were sparked by a Tik Tok trend in which users showed off how to steal Kia and Hyundai vehicles that lack basic security features.

Although the original challenge video was removed, copycats emerged to the point that TikTok has asked users to report any copies that have been made.

Authorities revealed these thefts led to at least 14 reported crashes and eight fatalities.

Kia and Hyundai said in February that they would provide free software fixes for 8.3 million vehicles to stop a rash of thefts inspired by the TikTok videos.

Chicago saw thefts of the two car brands rise by a shocking 767 percent between July and August last year compared to the same period in 2021, according to Chicago police.

The troubling trend was seen in cities all across America and in Portland, Oregon, thefts of Hyundais were up 153 percent while Kias were up 269 percent, according to city police.

Authorities revealed these car thefts led to at least 14 reported crashes and eight fatalities.

Authorities revealed these car thefts led to at least 14 reported crashes and eight fatalities.

In Columbus, Ohio, the two brands make up 38 percent of all cars stolen in 2022, the New York Post reported.

Out in Los Angeles, Kias and Hyundais were 20 percent of all car thefts last August, up from 13 percent at the same point the year before.

Police in Charlotte, North Carolina, reported last year that car thefts were 30 percent higher than was typically the case, with the majority of vehicles being Kias and Hyundais.

Many major cities have sued the automakers over the thefts including St. Louis, Missouri; Cleveland, Ohio; San Diego, California; Milwaukee, Wisconsin; Columbus, Ohio; Baltimore and Seattle.

Author: Yuvi

My name is Yuvi, I work as Sub Editor at newscinema.in

20 May, 2023, 12:46 am

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