Major insurers drop coverage for some Hyundai, Kia models due to theft
Two of America’s largest auto insurers are refusing to write policies in some cities for older Hyundai and Kia models considered too easy to steal, according to reports.
Progressive and State Farm have reportedly stopped offering insurance on the vehicles in places like Denver, Colorado and St. Louis, Missouri. It is unclear how many other cities or state are under similar restrictions.
According to CNN, the change covers some 2015 and 2019 Hyundai and Kia models that data shows are twice as likely to be stolen as other vehicles of similar age. The models lack basic auto theft prevention technology, such as electronic immobilizers, included in most other vehicles manufactured at the same time.
Immobilizers, which rely on a computer chip in the car and another in the key to communicate that it belongs to that vehicle, were standard equipment for 96% of 2015-2019 models but only 26% of Hyundai’s and Kias at the time.