50/50 Chance your Car could create a Life-Threatening Problem
Hyundai and Kai announced a recall today. They are recalling 1.4 million cars to fix a serious problem. You could be driving down the road and the engine might fail. Consider these statistics:
53.2 million cars were recalled in 2016
51 million cars were recalled in 2015
63.85 million cars were recalled in 2014
323.95 million people in the US.
Assuming that the 323.95 were all driving cars, you would have a 50/50 chance that your car was recalled. We all know that number has a large population of people under the age of 16 that don’t drive. Thus, your percentage chance is much higher than 50/50. Obviously, I am playing loosely with the math. However, you get the point. The numbers are the numbers.
Why is this so serious? The majority of recalls involve automotive failure that can cause accidents which can lead to death. The automobile industry is failing to deliver safe cars without defects.
Tony Joe who is on every Friday with me on the Special Car Corner edition of Prudent Money says it is about rushing product to market and using cheap outsourced parts all to make us much money as possible. The quality isn’t what it used to be. Another reason might be that up until December 2015 there was no accountability by workers in the union based automotive field. I interviewed Stephen Kohn who is one of the top whistle blower attorneys in the US on the show last year. He said that automotive industry is one of the last industries to be protected by whistle blower laws.
The whistle blower laws allow for people to turn others in anonymously. Before those laws went into effect, it took a brave soul to blow the whistle on someone else. Reputations would be ruined, jobs would be lost, and families threatened. Thus, people knew things that should be reported but never did.
It might take a few years for those laws to affect the outcomes of recalls. Meanwhile the numbers are what the numbers are. So, do yourself a favor. Go to www.recall.gov and enter in your vehicle identification number and make sure you don’t have a recall. Your life might depend on it.