Attorney General Kwame Raoul announced a settlement with Hyundai and Kia, along with a coalition of 35 attorneys general, addressing the sale of vehicles lacking standard anti-theft technology. The agreement follows a rise in car thefts linked to certain Hyundai and Kia models sold without engine immobilizers between 2011 and 2022.
“This settlement will ensure consumers can effectively protect their vehicles from theft while protecting communities in Illinois and across the country,” Raoul said. “I urge all affected consumers to schedule the installation of the proper anti-theft technology or file a theft compensation claim as soon as possible. I stand committed to protecting consumers and our communities, and I’m pleased that this settlement will help to prevent further thefts.”
As part of the settlement, Hyundai and Kia have agreed to equip all future U.S. vehicles with industry-standard engine immobilizer anti-theft technology. Owners or lessees of eligible vehicles will be offered free zinc-reinforced ignition cylinder protectors, even for models previously only eligible for software updates. The companies will also provide up to $4.5 million in restitution for consumers whose cars were damaged by theft, as well as pay $4.5 million to states for investigative costs.
From 2011 through 2022, some Hyundai and Kia models lacked anti-theft immobilizers that prevent operation without a key or fob. In Chicago alone during 2022, over 7,000 such vehicles were stolen—representing about 10% of registered Kias and 7% of Hyundais in the city.
Raoul joined other attorneys general last year urging both companies to take stronger action after it was revealed that immobilizers were included on similar models overseas but not in U.S.-sold versions. This omission contributed to increased vehicle thefts and related crimes nationwide.
The lack of standard immobilizers also led several major insurers to decline coverage for the most vulnerable Hyundai and Kia models.
Hyundai and Kia began offering software updates aimed at blocking common theft methods but limited hardware solutions like zinc-reinforced ignition cylinder protectors only to about one-fifth of affected vehicles not eligible for software fixes. States involved in the investigation argued these updates could still be bypassed by thieves.
According to Raoul, under the new settlement all owners with eligible vehicles can receive zinc-reinforced ignition cylinder protectors at no cost by scheduling an appointment at authorized dealerships within one year from notification.
Additionally, owners who had installed or scheduled software updates but experienced theft or attempted theft on or after April 29, 2025 may file claims for restitution covering certain related expenses.
For details on eligibility and filing compensation claims, consumers are directed to www.HKMultistateimmobilizersettlement.com.
Other participating states include Arizona, California, Colorado, Connecticut, District of Columbia, Delaware, Georgia, Hawaii, Iowa, Kansas, Kentucky, Louisiana, Maine, Maryland, Massachusetts, Michigan, Minnesota, Mississippi, New Jersey, New Hampshire, New Mexico, New York, Nevada, North Carolina, North Dakota, Ohio, Oklahoma, Oregon, Pennsylvania, Rhode Island, South Dakota, Vermont, Washington and Wisconsin.
