Gambling on Higher Prices, Hyundai Rolls Out Gas Guarantee Program

FOUNTAIN VALLEY, California — Hyundai Motor America on Tuesday rolled out a new program that guarantees a year's worth of gas at $1.49 per gallon on several Hyundai models. The offer excludes the 2009 Genesis and the 2010 Genesis Coupe.

The new program, dubbed Hyundai Assurance Gas Lock, anticipates that gas prices will edge close to $3 per gallon this summer, said the company in a statement.

"Our research shows that nearly 40 percent of potential new-car buyers are staying out of the market specifically due to uncertainty around future gas prices," said John Krafcik, CEO and president of Hyundai Motor America.

The program is standard on the Hyundai Accent (excluding the base model), Tiburon, Elantra, Elantra Touring, Entourage, Sonata, Azera, Santa Fe, Tucson and Veracruz.

New Hyundai owners sign up for the program at Hyundai.pricelock.com. After enrolling, they get a Hyundai Assurance-branded card to be used for future fillups. The consumer is billed at $1.49 per gallon of regular gas, regardless of the pump price, and Hyundai pays the rest, the company explained in a statement. The card can be used at most gas stations. There is a limit to the amount Hyundai will pay. The formula is "equal to 12,000 miles divided by the EPA combined fuel economy rating for the qualifying model," the company said.

The AAA Daily Fuel Gauge said Tuesday that the current average price for a gallon of unleaded gas is $2.63. A year ago, the average was $4.08. It reports that gas prices hit a high of $4.11 on July 17, 2008. Gas prices plunged in November but have been steadily climbing up since then.

Inside Line says: Hyundai continues to be creative when it comes to crafting security blankets for nervous consumers. — Anita Lienert, Correspondent