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New software from Kia and Hyundai helps, but theft cases remain high: Study

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Kia and Hyundai’s anti-theft software upgrades have deterred car thieves, but even after installing the new software, theft reports for these brands remain high, a new report shows.

After car thefts increased during the COVID-19 pandemic, the two automakers introduced a free software update in early 2023 to make it more difficult to start the vehicle if the owner’s key is not in the ignition.

The software helped, according to a new report from the Highway Loss Data Institute, an organization that analyzes insurance data. The report found that cars with the software upgrade had 53% fewer theft claims than vehicles without the upgrade. This includes all theft claims, from theft of vehicle parts or contents to theft of the entire vehicle.

The frequency of vehicle thefts fell even more drastically after modernization and was 64%.

While the software cannot prevent all thefts, the institute’s senior vice president, Matt Moore, said the numbers are significant enough to make it clear that eligible drivers should take the time to perform the software upgrade.

“A very optimistic person would look at this problem and this software update and say we would be happy to see a 100 percent reduction (in thefts),” Moore told USA TODAY. “I don’t know if that’s realistic. A 64 percent reduction is a big number.”

Why are Hyundai and Kia cars stolen?

Kia and Hyundai thefts skyrocketed in 2021 after instructional videos circulated on social media with detailed descriptions of how to steal vehicles without electronic immobilizers.

Compared to other automakers, Kia and Hyundai were late to make electronic immobilizers standard in new cars. The device – which prevents a car engine from starting without the correct key – was standard on only 17% of 2011 Hyundai and Kia models, compared with 92% of other models that year. In the 2022 model year, 84% of Hyundai and Kia models were standard, compared with 96% of competitors, according to the institute.

This vulnerability led to an increase in thefts, even after the anti-theft software was introduced. According to the Highway Loss Data Institute report, theft reports for Hyundai and Kia models built between 2003 and 2023 were 11 times higher in the second half of 2023 than in the first half of 2020.

Theft is still a problem, in part because not all Kia or Hyundai models are equipped with the software upgrade. Some vehicles are not eligible for the software, and according to the institute’s report, about 40 percent of eligible models had not yet had the upgrade installed as of mid-July.

However, the frequency of theft reports for Hyundai and Kia vehicles remains high “even for models with the new software,” the report says.

No “perfect” solution?

Jonathon Miller, 32, of Las Vegas was one of the unfortunate Hyundai owners whose car was stolen after installing the software upgrade.

Miller said he used a steering wheel lock to protect his 2015 Hyundai Elantra from thieves, but after the 2023 software upgrade, he got “a little too used to it” and stopped using the lock. Still, he said he made sure to lock his car every night with his key fob.

In early June, Miller discovered his car had been stolen. He said the thieves took the car for a joyride and caused about $7,000 in damage, totaling his car. He now drives a Nissan.

According to Michael Brooks, executive director of the Center for Auto Safety, a nonprofit advocacy group, Miller is not the only driver who has had problems with thefts after the software update.

“It doesn’t appear to be a perfect software solution,” Brooks told Phoenix television station Arizona’s Family in May. He told the station it was unclear why certain cars remained at risk of theft.

“It could be that thieves are finding other ways to steal these cars,” he told the station. “It could also be that sometimes consumers have aftermarket software or their own security system that could interfere with the Hyundai and Kia software, but that’s something that Kia and Hyundai really need to investigate.”

The institute’s report states that car models with the new software may still face higher theft claims because the software-based immobilizer is only activated when the vehicle is locked with the key fob. If, however, the driver uses the switch on the door handle, the anti-theft software is ineffective.

There is also the risk of minor crimes. Thieves could still steal other items from inside the vehicle if they cannot start the vehicle. The institute found that the frequency of vandalism claims increased by 61% for vehicles with the software update compared to vehicles without the upgrade – almost equivalent to the decrease in total theft claims.

“Based on these trends, we expect loss rates for Hyundai and Kia vehicles to gradually return to levels of other brands as thieves realize they are no longer as easy to steal and the trend subsides,” Moore said in the report.

Auto-callbacks: Hyundai, Nissan, Tesla among the 1.9 million vehicles recalled last week

In a statement, Kia said the automaker “continues to take comprehensive measures to improve the safety of its vehicles to better protect its customers” and urges eligible drivers to update their software.

In an emailed statement, the company said it was “committed to the comprehensive actions we are taking to assist customers and communities affected by the ongoing thefts of certain 2011 through 2022 model year vehicles that are not equipped with push-button ignition and immobilizer.”

By Bronte

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