AG Platkin Announces Settlement Mandating Anti-Theft Upgrades for Hyundai and Kia Vehicles

New Jersey co-leads multistate coalition securing restitution and mandatory safety upgrades after surge in thefts targeting models lacking engine immobilizers.

MORRIS COUNTY, NJ — New Jersey Attorney General Matthew J. Platkin has announced a major multistate settlement with Hyundai and Kia, requiring the automakers to implement critical anti-theft measures across millions of vehicles sold in the United States. The agreement, co-led by New Jersey and 34 other states, follows widespread auto thefts fueled by a viral trend that exploited the absence of basic security technology in certain Hyundai and Kia models.

The settlement mandates that Hyundai and Kia must:

• Equip all future U.S. vehicles with engine immobilizer technology—an industry-standard anti-theft feature;

• Offer free installation of zinc-reinforced ignition cylinder protectors to eligible vehicle owners, regardless of previous software updates;

• Provide up to $4.5 million in restitution to victims whose cars were stolen or damaged due to the defect; and

• Pay an additional $4.5 million to the participating states to cover investigation costs.

“For years, Hyundai and Kia deliberately failed to include industry-standard anti-theft technology in their vehicles, contributing to a nationwide spike in auto thefts. That ends now. Today’s settlement is a key step in our ongoing efforts to prevent auto thefts—and to hold carmakers accountable for their shameful failure to take appropriate action to prevent auto thefts,” said Attorney General Platkin. “The settlement announced today builds on the tireless work of law enforcement leaders across the state to combat auto theft and keep our communities safe—work that has resulted in dramatic reductions in auto thefts statewide.”

An engine immobilizer prevents a vehicle from starting without the correct key by electronically disabling the engine. While most automakers had adopted this technology by the mid-2010s, only 26% of Kia and Hyundai vehicles sold in the U.S. in 2015 included immobilizers—compared to 96% for other manufacturers. The lack of this basic deterrent allowed thieves to easily access and start certain models, often in under a minute.

In 2023, thefts of Hyundai and Kia vehicles surged nationally and in New Jersey, where the two brands accounted for 19% of all auto thefts, despite representing just 6.5% of registered vehicles on state roads. Many of the stolen vehicles were later connected to additional crimes or involved in collisions.

In response to the spike in thefts, the New Jersey Office of the Attorney General previously issued public warnings, published a consumer explainer video, and pressed the manufacturers to act more swiftly. Hyundai and Kia eventually began rolling out software updates and offering ignition cylinder protectors, but only for a limited subset of affected vehicles. The states later alleged that the software patches could be bypassed and were insufficient in deterring theft.

Under the new settlement terms, all eligible Hyundai and Kia owners will be offered free installation of zinc-reinforced ignition protectors, which provide a physical barrier to prevent ignition tampering. Vehicle owners will be notified directly by the manufacturers and will have one year from the date of notice to schedule their free installation at an authorized dealership.

Additionally, consumers who had the software update installed but still experienced a theft or attempted theft on or after April 29, 2025, may be eligible for compensation related to damages or other losses.

To check eligibility or file a claim:

• Hyundai owners should visit HKMultistateimmobilizersettlement.com

• Kia owners should visit customercare.kiausa.com/SWLD or call (800) 333-4542

The settlement was led by Connecticut, Minnesota, and New Hampshire, with New Jersey, California, Delaware, Illinois, Maryland, Nevada, and Washington serving as co-leads. The agreement was also joined by 27 additional states and the District of Columbia.

This multistate action is one of the largest consumer protection settlements involving the auto industry in recent years and follows a national reckoning over vehicle security vulnerabilities in the digital age.

Attorney General Platkin continues to urge Hyundai and Kia owners to take advantage of all available upgrades and monitor communications from the manufacturers regarding free installations and compensation.