Even as some insurers refuse to cover the vehicles in various parts of the country, policies still exist.
As was reported last week on Live Insurance News, State Farm and Progressive have announced that they are no longer selling auto insurance to certain models of Kia and Hyundai cars in various cities in the United States because the vehicles are too easy to steal. That said, agents in those regions are promising owners of those models that policies are still available.
Kia and Hyundai owners afraid of losing their coverage shouldn’t fear being without a policy.
Progressive and State Farm have both said that for the moment, they will not be writing auto insurance policies for some of the vehicle models that use physical steel keys because they are far too easy to break into. By doing this, they have determined that in order to cover the risk associated with those vehicles, they would not be able to provide coverage at an affordable price, so they are removing the option altogether. In that way, drivers can find coverage with another insurer willing to take on the increased theft risk associated with those vehicles.
Still, agents are assuring consumers that even without State Farm and Progressive policies available, there is still coverage out there from other carriers that are more than willing to write policies for Hyundai and Kia vehicles with steel keys. The areas affected by the decision still tend to be among those where there is considerable insurer selection available.
Auto insurance won’t necessarily increase for affected Kia and Hyundai vehicle owners.
According to many agents, several insurers haven’t made any adjustments to the rates they are charging customers for those vehicles. Therefore, when purchasing coverage from those carriers, the price won’t likely be much different from what had previously been paid. The premiums are calculated based on where a person lives and the general type of car being covered. The specific automaker won’t often have much of an impact on premiums.
That said, like State Farm and Progressive, agents are also recommending that drivers of affected vehicles consider adding anti-theft protection to their vehicles to keep their auto insurance premiums to a minimum while also lowering the risk of having to experience a stolen vehicle. These protections can include steering wheel locks, kill switches, immobilizers and others.