A wave of car thefts across New York has led to a major settlement with two auto giants.
Attorney General Letitia James announced Tuesday that Hyundai and Kia will pay up to $9 million and adopt sweeping reforms after failing to install proper anti-theft technology in millions of vehicles.
James joined a bipartisan coalition of 35 other attorneys general in the case. The settlement follows years of thefts tied to Hyundai and Kia vehicles that lacked engine immobilizers, a basic industry-standard security feature.
According to the Attorney General’s Office, Hyundai and Kia vehicles made between 2011 and 2022 were especially vulnerable. Thieves could bypass the ignition system in minutes, a method that spread widely online through viral videos.
Those vulnerabilities fueled sharp increases in thefts across New York. In New York City, Hyundai and Kia thefts doubled from 2021 to 2022. During the first four months of 2023, the city recorded 977 thefts involving those vehicles, up from 148 during the same period the year before.
Upstate communities saw similar spikes. Monroe County reported more than 1,400 stolen Hyundais and Kias in the first half of 2023. In Syracuse, more than half of all stolen vehicles during the first seven months of that year were from the two manufacturers.
Stolen vehicles were also linked to deadly crimes. In one case, a 16-year-old driving a stolen Hyundai crashed in Washington Heights, killing two teenage passengers. In Syracuse, stolen Kia and Hyundai vehicles were connected to the fatal shooting of two teenagers.
Under the settlement, Hyundai and Kia will pay up to $4.5 million to consumers whose vehicles were stolen or damaged and another $4.5 million in penalties to participating states. New York is expected to receive more than $220,000.
The companies must also equip all future vehicles with engine immobilizers and provide free ignition cylinder sleeves through local dealerships. They are required to continue promoting anti-theft protections for at least five years.
Consumers who installed a software update but still experienced a theft or attempted theft after April 29 may be eligible for restitution through the settlement.
“No one should have to fear for their lives on the road,” James said, adding that car manufacturers have a responsibility to protect customers from basic safety failures.


