Quick answer
- Many 2011 to 2022 Hyundai models, including most Elantras with a turn-key ignition, were built without an engine immobilizer, which made them easy to steal and triggered a nationwide theft wave.
- In 2023 some insurers, including State Farm and Progressive in certain areas, stopped writing new policies on affected models. Others raised rates sharply.
- Hyundai released a free anti-theft software update and partnered with AAA insurers to offer coverage to affected owners in most states.
- Hyundai says all vehicles produced since November 2021 have an immobilizer as standard.
- Getting the update, adding a steering wheel lock and keeping comprehensive coverage are the three steps that matter most.
For most of its history the Elantra was a cheap, sensible car to insure. Then social media videos showed how to start certain Hyundai and Kia models with a USB cable, and theft claims soared. Owners found themselves facing higher premiums or even refusals. Here is where things stand and how to get affordable coverage.
Which Elantras are affected?
The problem applies to Hyundai and Kia models with a traditional turn-key ignition and no engine immobilizer. For the Elantra, the software update program covered model years 2011 through 2022 in phases, along with the 2013 to 2020 Elantra GT. Elantras with push-button start are generally not affected. If you are unsure, enter your VIN on Hyundai’s anti-theft lookup or call a dealer.
Will insurers cover my Elantra?
Most will, but not all, and not everywhere. In 2023, news outlets reported State Farm and Progressive declining new policies on some affected Hyundai and Kia models in certain cities, often enforced automatically by VIN in quoting systems. Other insurers raised comprehensive premiums. In response, Hyundai partnered with independently operated AAA insurers to write new and renewal policies for eligible affected owners in all states except Alaska, Massachusetts and Washington, where AAA does not sell insurance.
If you are refused, ask a local independent agent, who can quote several carriers at once. Your state’s assigned risk or residual market plan is the last resort for liability coverage.
The software update and other fixes
- Free software update: extends the alarm and requires the key fob to unlock the car before the ignition will start. Installation takes under an hour at a dealer. You get a window sticker as proof.
- Steering wheel locks: Hyundai has distributed free locks through law enforcement agencies, and owners whose cars cannot take the update have been eligible for reimbursement.
- Class-action settlement: Hyundai and Kia settled a class action that offers compensation for theft-related losses not covered by insurance, including deductibles and premium increases, for eligible owners.
Tell your insurer when the update is done. Some insurers give credit for it, and the Highway Loss Data Institute found the update significantly reduced theft claims.
What Elantra insurance costs
For unaffected Elantras (newer push-button models), premiums are typically around average for a compact sedan. For affected older models, the comprehensive portion can be much higher in high-theft cities. Because pricing now depends so heavily on your ZIP code and whether the update is installed, national averages are less useful than usual. Get several quotes.
Should you drop comprehensive on an older Elantra?
Comprehensive is the coverage that pays if your car is stolen. Even on an older, low-value Elantra, it is usually worth keeping if you live in an area with frequent thefts. Consider dropping collision instead if the car’s value is low.
Buying a used Elantra
- Check whether the model year has a turn-key ignition.
- Ask for proof the anti-theft update was done, or have a dealer install it.
- Get insurance quotes before you buy.
Sources
- Hyundai Motor America, anti-theft software upgrade program and AAA insurance partnership announcements.
- Kelley Blue Book, CarInsurance.com and ABC News reporting on insurers declining Hyundai and Kia coverage.
- Highway Loss Data Institute, theft claim analyses of Hyundai and Kia models.
Frequently asked questions
Why are insurers refusing to cover Hyundai Elantras?
Many 2011 to 2022 models with a turn-key ignition lack an engine immobilizer, which led to a large increase in thefts. Some insurers stopped writing new policies on affected models in certain areas.
Does the Hyundai software update lower insurance?
It can. Some insurers give credit for it, and the Highway Loss Data Institute found it significantly reduced theft claims. Tell your insurer once it is installed.
Where can I get insurance for a Hyundai with the theft issue?
Hyundai partnered with AAA insurers to cover eligible affected owners in all states except Alaska, Massachusetts and Washington. Independent agents can also quote multiple carriers.