Some auto insurers are refusing to cover certain Hyundai and Kia models

[Demovictory9]

https://www.cnn.com/2023/01/27/business/progressive-state-farm-hyundai-kia/index.html


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Progressive and State Farm, two of America’s largest auto insurers, are refusing to write policies in certain cities for some older Hyundai and Kia models that have been deemed too easy to steal, according to the companies.

Several reports say the companies have stopped offering insurance on these vehicles in cities that include Denver, Colorado and St. Louis, Missouri. The insurance companies did not tell CNN which cities or states were involved.

The Highway Loss Data Institute released insurance claims data last September that confirmed what various social media accounts had been saying: Some 2015 through 2019 Hyundai and Kia models are roughly twice as likely to be stolen as other vehicles of similar age, because many of them lack some of the basic auto theft prevention technology included in most other vehicles in those years, according to the HLDI.

Specifically, these SUVs and cars don’t have electronic immobilizers, which rely on a computer chip in the car and another in the key that communicate to confirm that the key really belongs to that vehicle. Without the right key, an immobilizer should do just that – stop the car from moving.

[Silent3]

1. Why not just charge higher rates for the insurance for these cars instead?

After all, it was somehow possible to insure everyone's cars decades ago when everything was much easier to steal, and not go broke on those policies.

[allegorical oracle]

2. Another article related to this pointed out that immobilizers can be added on by some

dealerships -- or steering wheel locks/wheel locks can be used...but insurers won't accept those alternatives. So those cars are worthless scrap if they can't be insured. I own one of these affected cars -- just made my last payment earlier this month. Also read that social media posts spread which cars were easier to steal.