Kia and Hyundai insurance rates spike as thefts escalate

Some major auto insurance providers are even dropping coverage for drivers

JACKSONVILLE, Fla. – Owners of Kias and Hyundais are having to go the extra mile when it comes to car insurance.

Insurance companies are raising rates or dropping coverage altogether for the cars that are at a high risk of being stolen, according to a MarketWatch study.

Some drivers tell News4JAX they’re paying upwards of $800 a month just to insure their vehicles.

The cars aren’t equipped with engine immobilizers and don’t require a key or key fob to start the engine. Over 3.8 million Hyundai autos and 4.5 million Kia vehicles from model years 2011 to 2022 share this security flaw, according to the National Highway Traffic Safety Administration.

Allstate, Progressive and State Farm are among the car insurance providers that have announced they won’t issue new policies in some states for certain Hyundai and Kia models. In Florida, they’re also raising premiums and many drivers are reporting they don’t have the option to switch insurance companies because most won’t write new policies for some Kias and Hyundais.

TELL US: Have you had any issues with insurance for your Kia or Hyundai?

Mark Friedlander with the Insurance Information Institute of Florida said there’s coverage out there, but you might have to shop local.

“Give a call to a local insurance agent. Check it out, get some quotes and see if you could do better,” Friedlander said. “If you have one of these vehicles, and you are concerned about getting coverage, our recommendation is talk to your local insurance agent, get a few quotes, because there are companies still willing to write these at-risk vehicles.”

News4JAX viewer Becky Ann tells us her monthly premium skyrocketed with State Farm, “My insurance went up to almost $800.″

Leslie Blanchett says she has a Kia K5 and a Kia Tellurides. She writes, “Two years ago when we added the Telluride, our six month payment was just under $1000. It just renewed for just under $2100! No claims or tickets.”

Auto theft is typically included with comprehensive auto insurance coverage – so if you’re looking to save, you might want to consider raising your deductible for a comprehensive claim.

“That certainly would bring down the overall cost of the premium, which is a good thing, but you just need to be prepared to pay more out of pocket, because say you raise your deductible from 500 to 1000 nd your vehicle is stolen, your car will be covered. But you now have to pay $1,000 of that loss out of pocket versus 500,” Freidlander said.

You can also save by bundling your auto and home or renter’s policies and asking your insurance agent about discounts. Safe driving, alumni, and paperless billing discounts can save you hundreds on your annual policy.

About the Author:

Tiffany comes home to Jacksonville, FL from WBND in South Bend, Indiana. She went to Mandarin High School and UNF. Tiffany is a former WJXT intern, and is joining the team in 2023 as Consumer Investigative Reporter and member of the I-TEAM.