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5 Hyundai and Kia models have higher-than-average fire insurance claim rates

DETROIT — Owners of five Hyundai and Kia cars and SUVs file fire insurance claims at a rate far higher than the average for comparable vehicles, according to an insurance industry study. The Highway Loss Data Institute, which analyzes data from insurers representing about 85 percent of the U.S. industry, found that some Hyundai and Kia vehicles equipped with four-cylinder engines have double the noncrash fire claim rates than the average of comparable vehicles. Last week the South Korean brands announced they would recall about 168,000 vehicles to fix a fuel pipe problem that can cause fires. The problem stems from improper repairs during previous recalls for engine failures. They also announced additional sensor software for another 3.7 million vehicles. Hyundai and Kia started recalling 1.7 million vehicles in 2015 — about 618,000 of which are Kias — because manufacturing debris can restrict oil flow to connecting rod bearings. That can cause bearings in 2-liter and 2.4-liter four-cylinder engines to wear and fail. The problem can also cause fires. The repair in many cases is an expensive engine block replacement. Results of the Arlington, Virginia-based institute's study have been turned over the U.S. National Highway Traffic Safety Administration, which is investigating engine failures and fires in Hyundai and Kia vehicles. The agency is mostly closed this week due to the partial government shutdown. Hyundai said Tuesday that the majority of its models in the study are already being recalled or are part of additional actions to keep customers safe. "Hyundai actively monitors and evaluates potential safety concerns, including non-collision fires, with all of its vehicles and acts swiftly to recall any vehicles with safety-related defects," spokesman Michael Stewart said. Kia spokesman James Bell said the company is cooperating with NHTSA "and will take any necessary corrective action in a timely manner." Many of the fires involve vehicles included the engine failure recall and could have been prevented if owners had the recall repairs done, he wrote. The institute began studying fire claims after the Center for Auto Safety petitioned NHTSA last year seeking a wider recall of Hyundai and Kia vehicles. The center had found a higher-than-normal number of consumer complaints about Hyundai and Kia fires in the agency's database. NHTSA has used Highway Loss Data Institute studies in the past to help make recall decisions.

Kia says fewer than 30% of its dealers will get 2015 K900

Kia is moving into unknown territory with its $60,000 K900 luxury sedan in many ways. Not only will it act as the company's flagship model, it will be the Korean brand's first in the US with rear-wheel drive and a V8 engine. The first batch will hit showrooms in March, but according to Edmunds, it will be a soft launch in some ways, because only around 30 percent of dealers have paid a premium to sell the plush ride.
Kia has sent the selected dealers back to school to make sure they are prepared to sell the K900 to the industry's famously finicky luxury sedan buyers. The company believes its flagship model will be "a catalyst in support of our long-term strategy to elevate the ownership experience," said James Hope, Kia's National Manager for product communications, to Autoblog in an email. According to Edmunds, the dealers paid about $30,000 each in required training, tools and showroom displays. It wants the improvements to "shift the culture" in its dealers to be ready to welcome luxury buyers, according to Hope. Kia Director of Public Relations Scott McKee told Autoblog that the brand expects buyers to be "independent thinkers" from a blend of current Kia owners stepping up to the K900 and conquests from other luxury brands.
Kia has been slowly building awareness of the K900, especially with its Super Bowl ad, but it still has a long road ahead of it to prove what makes it crown jewel different. The company believes more dealers will sign up to sell it once public awareness for the new sedan grows. "There has never been a better time to challenge the status quo," said Hope. Also, a V6 model will launch in the future at a lower price, which should bring more people into the updated showrooms. Given what Kia has accomplished in the US in the last 20 years, it would be foolish to count the K900 out, but that doesn't mean it will be easy to break into the luxury sedan market.

2014 Kia Forte Koup SX

The Kia Forte and Hyundai Elantra have long followed similar paths, with each available in a four-door sedan, a five-door hatch and (most recently) a two-door coupe bodystyle. The recent death of the Hyundai Elantra Coupe in the US may be threatening to change the narrative on these two affordable compact lines, of course, but the Korean two-doors have a lot in common under their distinct skins. Their most recent iterations came to market under the power of the same 2.0-liter, 173-horsepower four-cylinder paired with six-speed automatic transmissions and riding atop MacPherson strut front suspensions and torsion-beam setups out back. Each arrived weighing between 2,800 and 3,000 pounds and could be had in base form for less than $20,000. Considering this, the empirical performance stats figured to be similar.
There's an important distinction to be made, however. Rather than offer a simple two-door version of a four-door car, like Hyundai did with its Elantra Coupe, Kia has gone to lengths to craft a vehicle with its own unique attitude and attributes. Kia has embraced a sportier stance with its two-door Forte Koup, offering up a standard six-speed manual and going further in an effort to craft a more unique, aggressive coupe design.
That drive to be different was further accentuated last year, when Kia raided Hyundai's parts bin and plucked out the 1.6-liter turbocharged four-cylinder from the Veloster Turbo. The resulting car is decidedly different than any other Forte we've tested, while also feeling like a better all-around product than the smaller hot hatch it stole its engine from. To see just how much better, we drove the Forte Koup SX for a week and set about seeing how this enhanced model stacks up as a performance offering.