Own a Hyundai or Kia? Here’s Why You Might Struggle to Get Auto Insurance

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You might have trouble getting insurance if you own certain models. 

When it comes to buying auto insurance, one major point of stress for vehicle owners tends to be the high cost involved. That’s why it’s so important to shop around with different car insurance companies to see which ones will offer you the most competitive rates.

But just because you ask for the option to buy auto insurance doesn’t mean you’ll be granted it. In fact, CNN recently reported that two major car insurance companies are now refusing to write policies for certain types of vehicles. And if your vehicle is on that list, your pool of choices may be whittled down.

Hyundai and Kia owners, beware

Progressive and State Farm will not be writing auto insurance policies for some older Hyundai and Kia models in certain parts of the country, reports CNN. The reason? These cars are just too easy to steal.

When auto insurance companies determine premium rates, they take different factors into account. But ultimately, they want to make sure they’re not taking on undue risk. If you have a driving record that’s littered with offenses, you might struggle to find auto insurance, or find an affordable policy, because you might be considered too much of a risk to insure.

Similarly, auto insurance companies like to minimize their risk when it comes to having to pay out on insurance claims due to theft. And it’s for this reason that Progressive and State Farm are taking a harder stance on older Kia and Hyundai vehicles.

The Highway Loss Data Institute released insurance claims data last September, and it confirmed that certain 2015 through 2019 Kia and Hyundai models are about twice as likely to be stolen as other vehicles of a similar age. The reason? They lack the basic auto theft prevention technology that most vehicles made at that time include.

In fact, stealing Kia and Hyundai models actually became a social media trend in 2021,

as criminals took to not only reveling in their success in stealing those cars, but also, offering up tutorials on how to do so. So it’s easy to see why a couple of major insurers are backing away from writing policies for these at-risk vehicles.

How to get insurance for your older Hyundai or Kia vehicle

If you have an older Hyundai or Kia model, you’re not necessarily out of luck when it comes to being able to buy car insurance. So far, only two major insurers seem to be avoiding writing policies for these vehicles, and there are plenty of other options to look into.

But also, you may want to speak to a trusted mechanic and see if there’s a way to make your vehicle safer. It may be possible to retrofit your vehicle to include the anti-theft features it lacks.

Doing so might not only open the door to more auto insurance options, but also, just as importantly, prevent your car from actually being stolen. And that could, in turn, save you a world of hassle, aggravation, and financial loss.

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The Ascent does not cover all offers on the market. Editorial content from The Ascent is separate from The Motley Fool editorial content and is created by a different analyst team.Maurie Backman has no position in any of the stocks mentioned. The Motley Fool recommends Progressive. The Motley Fool has a disclosure policy.

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