Attorney General Jeff Jackson has announced a $9 million settlement with Hyundai and Kia following a rise in car thefts linked to the absence of anti-theft technology in their vehicles. The companies had not installed “engine-immobilizer” systems in millions of cars sold across the United States, including North Carolina. An engine immobilizer prevents unauthorized starting of a vehicle without its electronic key.
A 2015 report showed that only 26 percent of Kia and Hyundai vehicles sold in the U.S. were equipped with this technology, compared to 96 percent from other manufacturers. This omission made it easier for thieves to start these cars without keys, leading to increased thefts and subsequent crimes, including fatal accidents.
“Hyundai and Kia could have made their cars harder to steal from the outset – but they chose not to,” said Attorney General Jeff Jackson. “This settlement means they’re going to take steps to address the crimes caused by their mistake and repay customers for what they’ve lost.”
The companies responded in 2023 by offering a software update for most affected vehicles and zinc-reinforced ignition cylinders for others. However, thefts continued as criminals found ways around these updates.
Under the terms of the settlement, Hyundai and Kia will now provide free zinc-reinforced ignition cylinder protectors for eligible vehicles—including those that previously received only the software update. Vehicle owners or lessees will be notified about eligibility and must schedule installation within one year of receiving notice.
Consumers who had their vehicle stolen or targeted after installing or scheduling the software update on or after April 29, 2025, may file claims for compensation covering certain expenses. Information about eligibility and claims can be found at www.HKMultistateimmobilizersettlement.com for Hyundai owners or https://customercare.kiausa.com/SWLD (or by calling (800) 333-4Kia(4542)) for Kia owners.
Attorney General Jackson worked alongside attorneys general from Connecticut, Minnesota, New Hampshire, California, Delaware, Illinois, Maryland, New Jersey, Nevada, Washington and several other states on this settlement.
The North Carolina Department of Justice operates statewide as an agency overseeing legal matters such as consumer protection and crime prevention (official website). As head of this agency [source], Attorney General Jeff Jackson provides services across North Carolina focusing on public safety [source].
