The problem with thefts of certain Hyundai and Kia models has taken a new turn in the US. Approximately 200 insurance companies are demanding that the automakers compensate for payments made for stolen cars or those damaged during attempted thefts. The total claims could exceed $1 billion.

The key technical complaint was the absence of an immobilizer system – an electronic security feature that prevents the engine from starting without an authorized key. Insurers claim that a number of models from 2011–2022 lacked such a system, making the vehicles particularly vulnerable to theft.

The situation was sharply exacerbated by videos circulating on social media demonstrating how to bypass the standard ignition system. After this, the number of thefts of certain Hyundai and Kia models significantly increased, and manufacturers began installing software-based additional security measures.

Now, the Ninth Circuit Court of Appeals has overturned a lower court's decision, which had previously refused to consider claims against the Korean parent companies due to a lack of necessary jurisdiction. The court indicated that Hyundai Motor Company and Kia Corporation shipped vehicles through California ports, and therefore could fall under the jurisdiction of a local court.

This does not mean that the companies are already obligated to pay $1 billion. The case is being returned to the trial court, where proceedings may continue.

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