DETROIT (AP) – Toyota, Subaru, Mazda and BMW have reached a proposed settlement that would compensate owners of 15.8 million vehicles for economic losses stemming from the massive recall of Takata air bags.
Plaintiffs’ attorneys said Thursday the automakers have agreed to pay $553 million to settle a lawsuit filed in federal court in Miami. The court must still approve the settlement.
Takata’s air bag inflators can explode with too much force, hurling shrapnel into drivers and passengers. The inflators are blamed for at least 16 deaths worldwide.
The problem touched off the largest automotive recall in U.S. history involving 42 million vehicles.
The settlement provides owners with up to $500 and compensation for out-of-pocket costs related to the recall.