Hyundai Motor and sister company Kia Motors have agreed to settle a class action lawsuit for 200 million dollars over a manufacturing defect that made it easy to steal certain vehicles.
In a joint press release on Thursday, Hyundai Motor America and Kia America announced that they signed an agreement to resolve the lawsuit filed by owners of cars without an anti-theft device valued at up to 200 million dollars.
The automakers said that the agreement will provide cash compensation to customers who incurred theft-related vehicle losses or damage in addition to reimbursement for insurance deductibles, increased insurance premiums, and other related losses.
As part of the settlement, free software updates and steering wheel locks will be provided to the owners of cars considered vulnerable.
For customers whose vehicles cannot accommodate the software upgrade, the agreement will provide reimbursement of up to 300 dollars for the purchase of various anti-theft devices.
The suit claimed that a lack of safeguards allowed thieves to quickly and easily steal cars made by the automakers, particularly certain models without an immobilizer, a common anti-theft device that prevents a car from starting without the code from the vehicle's unique smart key.