Hyundai Engine Immobilizer Lawsuit | 2025 Latest Updates

Hyundai Motor Company is facing numerous class action lawsuits alleging that certain Hyundai and Kia vehicles are easy to steal because they were manufactured without an engine immobilizer device, which would prevent them from being driven by anyone who doesn’t have a smart key.
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C.L. Mike Schmidt Published by C.L. Mike Schmidt

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Hyundai & Kia Engine Immobilizer Lawsuit Overview

The Hyundai and Kia engine immobilizer lawsuits involve claims that certain vehicle models were defectively designed without essential anti-theft technology, making them exceptionally vulnerable to theft.

Multiple class action lawsuits allege that Hyundai Motor Company intentionally manufactured Kia and Hyundai vehicles without engine immobilizers to save money, despite this being standard equipment in most modern vehicles.

The affected models can be stolen in minutes using just a USB drive or small tool to strip the ignition column, with windows that don't trigger alarms when broken.

These design flaws have led to widespread thefts, insurance coverage denials, and significant financial losses for vehicle owners across the United States.

Related Article: Kia Engine Immobilizer Lawsuit

Latest Hyundai & Kia Engine Immobilizer Lawsuit Updates

  • April 2025: Progressive Insurance and several other major insurers continue to deny coverage to owners of affected Hyundai and Kia vehicles in high-theft areas, citing the extreme risk posed by the missing immobilizer technology. This has left thousands of vehicle owners without adequate insurance protection and struggling to find alternative coverage.
  • March 2025 – A federal judge in Minnesota has certified a nationwide class action lawsuit against Hyundai and Kia, allowing the case to proceed on behalf of all affected vehicle owners in the United States. The lawsuit alleges consumer law violations, breach of warranty, and unjust enrichment related to the companies' failure to install industry-standard immobilizer technology.
  • January 2025 – Hyundai has expanded its software upgrade program to include additional vehicle models, offering a security enhancement that aims to reduce theft vulnerability. However, consumer advocates argue this solution is insufficient as it doesn't address all security vulnerabilities and requires owners to visit dealerships, potentially at their own expense.

Theft Statistics & Economic Impact

The absence of engine immobilizers in Hyundai and Kia vehicles has created a significant economic and public safety impact:

  • Affected models include 2011-2021 Kias (Optima, Soul, Sorento, Forte, and Sportage) and 2016-2021 Hyundai vehicles using steel keys [1].
  • Some cities have reported up to a 1000% increase in Hyundai and Kia thefts since the security vulnerability gained attention on social media [2].
  • Insurance claims related to theft of these vehicles have increased by over 300% in many urban areas.
  • The resale value of affected models has decreased by an estimated 10-15% due to the theft risk and insurance challenges.
  • Owners face out-of-pocket costs averaging $500-$1,000 for aftermarket security measures and increased insurance premiums.
  • Social media trends showcasing the ease of stealing these vehicles have exacerbated the problem, with some videos receiving millions of views.

Impact on Vehicle Owners

Owners of affected Hyundai and Kia vehicles are experiencing multiple serious consequences due to the missing engine immobilizer technology:

  • Insurance Coverage Denials: Major insurers like Progressive are refusing to provide new policies for affected vehicles, leaving owners without adequate protection.
  • Increased Theft Risk: The design flaw allows thieves to steal these vehicles in under 60 seconds using just a USB drive or similar small tool.
  • Depreciated Vehicle Value: Affected models have significantly decreased in resale value due to the known security vulnerability and insurance challenges.
  • Out-of-Pocket Security Costs: Owners must purchase additional security devices or pay for manufacturer upgrades to protect their vehicles.
  • Personal Safety Risks: Stolen vehicles are often used in additional crimes, potentially exposing owners to liability or dangerous situations.

Do You Qualify for a Hyundai & Kia Engine Immobilizer Lawsuit?

You may qualify for a Hyundai or Kia engine immobilizer lawsuit if:

  • You own or lease a 2011-2021 Kia (models Optima, Soul, Sorento, Forte, or Sportage) or a 2016-2021 Hyundai vehicle that uses a steel key rather than a fob and push-button start
  • Your vehicle lacks an engine immobilizer, making it vulnerable to theft
  • You have experienced vehicle theft, attempted theft, or damage related to a theft attempt
  • You have been denied insurance coverage or faced increased premiums due to your vehicle's vulnerability
  • You have incurred expenses for additional security measures or replacements for a stolen vehicle
  • You have experienced a reduction in your vehicle's value due to the security vulnerability

Evidence Required for a Hyundai & Kia Engine Immobilizer Lawsuit

To strengthen your claim in a Hyundai or Kia engine immobilizer lawsuit, you should gather:

  • Vehicle purchase or lease documentation showing ownership of an affected model
  • Documentation confirming your vehicle lacks an engine immobilizer (vehicle manual, dealer confirmation)
  • Police reports of any theft or attempted theft of your vehicle
  • Insurance correspondence showing coverage denial, non-renewal, or premium increases
  • Receipts for security upgrades, repairs, or replacement transportation
  • Evidence of your vehicle's depreciated value (appraisals, valuation reports)
  • Documentation of any communications with the manufacturer or dealer regarding the security vulnerability

Damages You Can Recover

Plaintiffs in the Hyundai and Kia engine immobilizer lawsuits may be eligible to recover compensation for:

  • Vehicle Repair or Replacement Costs: Expenses to repair damage from theft attempts or replace stolen vehicles.
  • Security Upgrade Expenses: Costs for aftermarket security devices or manufacturer-provided security enhancements.
  • Increased Insurance Premiums: Additional insurance costs resulting from the vehicle's vulnerability.
  • Alternative Transportation Costs: Expenses for rental cars or rideshare services when your vehicle was unavailable.
  • Diminished Vehicle Value: Compensation for the reduction in your vehicle's resale value.
  • Punitive Damages: Additional compensation in cases where manufacturers acted with gross negligence.

Hyundai & Kia Recall Information

While a formal safety recall has not been issued for the engine immobilizer defect, Hyundai and Kia have implemented remediation programs in response to the widespread theft problem:

  • Software Update Program: In February 2023, Hyundai began offering free software updates for approximately 4 million affected vehicles to prevent the theft method popularized on social media.
  • Models Eligible for Software Update: Most 2011-2022 Hyundai vehicles that use traditional key operation (not push-button start).
  • Hardware Solutions: Where software updates are not available, Hyundai offers steering wheel locks and subsidized security kits.
  • Kia Security Program: Similar to Hyundai, Kia is offering software upgrades for certain models, though their program covers fewer vehicles.
  • Implementation Timeline: The software upgrade rollout began in early 2023 and is continuing in phases, with some models receiving updates before others.

It's important to note that these programs are not the same as a safety recall issued through the National Highway Traffic Safety Administration (NHTSA), which would typically require manufacturers to remedy defects at no cost to all affected owners.

The current solutions are being implemented in response to class action litigation and public pressure.

Manufacturer Responses & Available Solutions

Hyundai Response

Beginning in October 2022, Hyundai started offering potential solutions for affected vehicle owners:

  • A specialized security kit targeting the vulnerability thieves are exploiting (available for purchase)
  • Software upgrades to improve vehicle security (being rolled out in phases)
  • Partnership with select law enforcement agencies to distribute steering wheel locks

Kia Response

Kia has taken a more limited approach to addressing the issue:

  • Not currently offering a proprietary security kit
  • Recommending owners purchase steering wheel locks or "Club" devices
  • Working with some local police departments to distribute steering wheel locks

How Does an Engine Immobilizer Work?

The engine immobilizer is an anti-theft device built into the engine's electronic control unit (ECU) that prevents the engine from starting without the vehicle's authorized key.

Unlike the affected Hyundai and Kia models, vehicles with proper immobilizers use:

  • A unique digitally coded key or Smart Key fob containing a transponder chip
  • Electronic security codes or vehicle passwords stored in the transponder
  • Authentication systems that verify the key's digital signature before allowing the engine to start

Immediate Actions for Affected Vehicle Owners

If you own a Kia or Hyundai vehicle from the affected model years, taking swift action can help protect your car and address potential issues.

With rising theft incidents targeting these vehicles, here are the immediate steps you should take to safeguard yourself:

  • Check if your vehicle is affected: Verify if your car is among the affected models, including 2011-2021 Kia (Optima, Soul, Sorento, Forte, Sportage) or 2016-2021 Hyundai models.
  • Review your insurance coverage: Some insurers, like Progressive, are reportedly denying coverage for these vehicles. Confirm your policy details and options.
  • Install temporary security measures: Use physical deterrents like a steering wheel lock or "Club" device to reduce theft risks.
  • Document any incidents: Keep records of theft attempts, damages, or other security-related incidents for insurance or legal purposes.

Action Steps Matrix for Kia and Hyundai Owners

If you own an affected Kia or Hyundai vehicle, knowing the appropriate steps to take based on your situation is crucial.

Whether your car has already been stolen, is at risk, or was recently purchased, this decision matrix will guide you through immediate and long-term actions to protect your vehicle and your rights.

If Your Car Is: Immediate Steps: Long-Term Steps:
Already Stolen File a police report Join a class action lawsuit
At Risk Install a security device Document all related costs
Recently Purchased Check for an immobilizer Contact your dealer

Statute of Limitations for Vehicle Defect Claims

The statute of limitations for filing a claim in the Hyundai and Kia engine immobilizer lawsuits varies by state, but typically ranges from 2-6 years from the date you discovered (or reasonably should have discovered) the defect.

Important considerations include:

  • Consumer protection claims often have shorter statutes of limitations than breach of warranty claims
  • The clock may start from different points: vehicle purchase date, date of a theft incident, or when the security vulnerability became public knowledge
  • Some states apply the "discovery rule," which starts the countdown when you reasonably should have known about the defect
  • Joining an existing class action may be possible even if your individual claim period has expired

Given these complexities, consulting with an attorney promptly is essential to ensure your claim is filed within the applicable timeframe.

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FAQs

1. Who can file a claim in the Hyundai Engine Immobilizer lawsuit?

Owners or lessees of Kia and Hyundai vehicles who experienced theft or financial losses due to the lack of an engine immobilizer in their vehicle may be eligible to file valid and timely claims.

2. What compensation might plaintiffs receive in the Hyundai Engine Immobilizer lawsuit?

Class members may be entitled to compensation for vehicle damage, replacement costs, increased insurance premiums, and other financial losses resulting from the theft or vulnerability of their class vehicles. This could be part of a proposed settlement.

3. Which Hyundai models are affected by the engine immobilizer defect?

Several Hyundai models, including some Elantra, Sonata, and Santa Fe vehicles, may be affected by the lack of an engine immobilizer, making them more susceptible to theft. You can check specific models through Hyundai or recall notices.

4. Has Hyundai issued any recalls related to engine immobilizers?

While Hyundai has not issued a formal recall for all models, the company has taken steps to address the issue by offering software upgrades or security fixes for affected vehicles to reduce theft risk.

5. Can I get reimbursed for security upgrades?

Reimbursement may depend on the manufacturer or legal action outcomes. Some companies have offered reimbursements or free security upgrades, so check with your dealer or manufacturer. Keep all receipts as proof of expenses in case reimbursement becomes available.

6. What if my car was already stolen?

If your car was already stolen, you should file a police report immediately and notify your insurance provider. You may be eligible for compensation depending on class action lawsuits or manufacturer initiatives. Document all related expenses for potential claims, including rental cars and out-of-pocket costs.

7. Will this affect my warranty?

The issue itself should not void your vehicle's warranty, but any modifications or upgrades you make could potentially impact coverage. Confirm with your dealer whether specific security upgrades affect your warranty terms.

8. Can I return my affected vehicle?

Returning the vehicle depends on state laws and the dealer's return policy. Manufacturers may offer buybacks or trade-in options during legal settlements. Contact your dealer to explore any available options.

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Time is limited to pursue legal action for losses related to Hyundai and Kia's failure to install engine immobilizers. With statutes of limitations ranging from 2-6 years depending on your state, it's crucial to act promptly to protect your legal rights.

Don't wait until it's too late to seek compensation for:

  • Vehicle theft or damage
  • Security upgrade expenses
  • Insurance coverage denials
  • Diminished vehicle value

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Reference:

  1. https://www.kiplinger.com/personal-finance/hyundai-and-kia-car-thefts-spike
  2. https://edition.cnn.com/2024/01/04/business/hyundai-kia-thefts-increased-10-fold