Honda agrees US$ 605 million settlement over Takata airbags
Japanese automaker Honda has agreed to a US$ 605 million settlement to pay for buyers’ claims related to the deadly airbags in the US.
The money Honda set aside will go towards paying for all the out-of-pocket costs and lost wages customers might have incurred from having to get their Takata airbag-equipped cars repaired.
According to Financial Times, part of that amount will also be used to create an outreach program designed to speed up the pace of the recall as well as the replacement of recalled parts.
If the court approves the amount Honda is offering to pay, it’ll be the biggest among all Takata-related settlements. Toyota, Subaru, Mazda and Subaru agreed to settle for a total of US$ 553 earlier this year, while Nissan settled a class-action lawsuit for US$ 97.7 million.
Honda is Takata’s biggest customer, all but one of the 18 deaths related to the company’s rupture-prone airbags happened in Honda vehicles.
Takata inflators can explode with excessive force, unleashing metal shrapnel inside cars and trucks.
To date, 19 automakers have recalled more than 42 million vehicles in the largest auto safety callback in history. Takata expects 125 million vehicles worldwide will eventually be recalled due to its defect-prone inflators.