PEORIA, Ill. (WMBD) — State Farm is no longer accepting new car insurance applications for certain Kia and Hyundai models made between 2015 to 2019, citing theft concerns.
In a statement, State Farm spokesperson Sevag Sarkissian said the rise in car thefts “is a serious problem impacting our customers and the entire auto insurance industry.”
“We take seriously our responsibility to manage risk and the impact of excess claim costs on all our customers. In this case, it became necessary to take action to protect our policyholders and our business,” the statement continued.
Many 2015-19 Hyundai and Kia models don’t have electronic immobilizers, which are electronic security devices that will not start a car without the presence of a smart key, according to Highway Loss Data Institute (HDLI), a nonprofit research organization that studies auto insurance statistical data.
The rise in Kia and Hyundai car thefts has been amplified by so-called “Kia Boys” on TikTok, who posted videos showing how to steal the cars using a USB cable and screwdriver.