Two of the Most Popular Car Makers in America Have a Very Scary Issue

Several insurance companies said they would stop writing policies for certain models in 2023, so this couldn't come at a worse time.

Aug 4, 2023 - 06:30
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Two of the Most Popular Car Makers in America Have a Very Scary Issue

Earlier this year, Kia and Hyundai seemed like they were untouchable. 

The budget car manufacturers raked in awards from Kelley Blue Book (KBB) earlier this year, besting some of what's conventionally seen as the most reliable options on the market, like Honda and Toyota. 

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To paint a fuller picture of just how much KBB loved Kias and Hyundais, here's a list of the Best SUVs of 2023-24 awards the two manufacturers received: 

  • #1 Best 3-Row SUV: 2023 Kia Sorrento 
  • #1 Best Mid-Size SUV: 2023 Hyundai Santa Fe
  • #1 Best 2-Row SUV: 2024 Kia Seltos
  • #1 Best Subcompact SUV: 2024 Kia Seltos
  • #1 Best Electric SUB: 2023 Hyundai Ioniq 5
  • #1 Best PHEV SUV: 2023 Hyundai Santa Fe Plug in Hybrid
  • #1 Best Subcompact Car: 2022 Hyundai Accent
  • #1 Best Wagon: 2023 Kia Niro

Many of the runners-up were Hyundais or Kias, too. It's hard to actually find a category that the Korean car makers didn't dominate. 

And while consumers scoop up Hyundais and Kias with a ferocious zeal, some unwelcome news about some cars is making the rounds. 

In the U.S. alone, Hyundai and Kia said they would recall approximately 91,000 cars and SUVs due to a risk of fire. The makers are also urging drivers to park their cars outside and away from other vehicles or structures, as they might have the propensity to erupt in flames. 

The models affected are: 

  • 2023-2024 Hyundai Palisade
  • 2023 Tucson 
  • 2023 Sonata 
  • 2023 Elantra 
  • 2023 Kona vehicles
  • 2023-2024 Kia Seltos 
  • 2023 Kia Soul 
  • 2023 Kia Sportage
The 2023 Hyundai Palisade sports utility vehicle (SUV) during the 2022 New York International Auto Show (NYIAS) in New York, U.S., on Wednesday, April 13, 2022. The NYIAS returns after being cancelled for two years due to the Covid-19 pandemic. Photographer: Jeenah Moon/Bloomberg via Getty Images

Bloomberg/Getty Images

About 52,000 Hyundai and 40,000 Kia automobiles are involved in the recall. 

The manufacturers, which operate independently (but Hyundai is the parent company of both makers) said the issue is related to the cars' Idle Stop & Go oil pump assembly, which could have faulty electrical parts, which could result in overheating and fire. Heat damage could subsequently cause a short circuit and affect other controls in the vehicle.

So far, Kia has received six reports of such incidents and Hyundai has received four. No injuries have been reported. Hyundai said it will offer rentals to any driver who feels unsafe in their affected vehicle. 

Kia and Hyundai Report a Laundry List of Issues

Earlier in 2023, State Farm and Progressive Insurance companies said they would stop writing policies in some states for some Kia and Hyundai models between 2015-2021 because they were too easy to break into and steal. 

The following models are affected: 

  • 2015-2021 Hyundai Accent (all body styles)
  • 2015-2021 Hyundai Elantra (two-door and four-door)
  • 2015-2021 Hyundai Kona
  • 2015-2021 Hyundai Santa Fe
  • 2015-2021 Hyundai Tucson
  • 2015-2018 Hyundai Veloster
  • 2015-2021 Kia Forte
  • 2015-2021 Kia Optima
  • 2015-2016 Kia Optima Hybrid
  • 2015-2021 Kia Rio (all body styles)
  • 2015-2021 Kia Sedona
  • 2015-2016 Kia Sorento
  • 2015-2021 Kia Soul
  • 2015-2021 Kia Sportage

Kia and Hyundai have been working on a software fix to solve the problem. However, as of May 2023, The Associated Press reports the vehicles are still being stolen at an outsized rate

In 2020, Kia recalled 295,000 cars due to a fire hazard from fuel leakage and Hyundai recalled 82,000 electric vehicles in 2021 because its lithium batteries could catch fire. 

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