According to Reuters, Ford has agreed to what’s described as a “so-called economic loss settle of $299.1 million.” This settled amount will cover various forms of economic loss linked to the faulty airbag inflators, such as claims that vehicles were stated as being safe but really were not, and for cars that people had overpaid for despite the airbags. Many owners were forced to pay various out-of-pocket expenses.
Ford isn’t the only automaker that agreed to a settlement, which has now climbed to a total value of around $1.2 billion. Other automakers include Ferrari, Honda, Toyota, Nissan, Mazda, Subaru and BMW. The defective Takata airbags have been connected to the deaths of at least 23 people and more than 290 injuries worldwide. The exact problem with the inflators is that they can explode, flinging metal shrapnel at passengers’ faces. A total of 21 deaths took place in Hondas, while two happened in Fords. The settlement Ford agreed to with affected owners takes into account specifics like lost wages, child care costs and vehicle repairs. Ford will also offer free rental or loaner vehicles to these owners as they wait for the necessary repairs.
As of July 18, a total of 30 million vehicles in the U.S. still require repairs. The Takata airbag recall was the largest safety recall in auto industry history, affecting roughly 100 million inflators among 19 major automakers. Takata’s bankruptcy happened back in June 2017, but not before it agreed to a $1 billion settlement with the U.S. Justice Department.