Car Recall Facts and Statistics 2023

What Is a Car Recall?

A car recall is when either a vehicle manufacturer or the federal government, via the National Highway Traffic Safety Administration (NHTSA), determines that a vehicle doesn’t meet the Federal Motor Vehicle Safety Standards. This federal legislation mandates minimum performance requirements for parts of vehicles that affect safety, such as lighting, brakes, and tires.¹

If a recall is issued, car manufacturers need to either fix the defect or, in the most extreme cases, repurchase the vehicles so they aren’t on the roads.

Why Do Car Recalls Happen?

Car recalls happen due to clearly identified safety problems. (Emissions issues, in contrast, are handled by the Environmental Protection Agency, not by the NHTSA.) Safety recalls could include issues with the following vehicle parts:

• Steering systems
• Headlights
• Backup cameras²
• Fuel systems
• Accelerators
• Wheels

Delayed backup cameras, fire-causing leaking fuel systems, or broken accelerators could cause a driver to lose control of a vehicle, leading to injuries, property damage, or, in the worst cases, traffic fatalities.

Who Issues Recall Notices?

Vehicle manufacturers are responsible for issuing recall notices to consumers.

Timeliness of Recalls

The manufacturer must issue the recall notice within 60 days of the date it notified the NHTSA of the issue.

Who Pays for Repairs?

The manufacturer should pay for the repairs. If you already paid, however, you can request a reimbursement. Just show a receipt or any documentation of the repair to your manufacturer within 10 days of the original receipt of the recall notice.

So long as the vehicle is less than 16 model years old, the manufacturer will pay for the repairs, including parts and labor, and there is no deadline you have to meet.³ Note, though, that the manufacturer will not pay for a rental car while yours is in the shop — that will depend on your car dealer and your insurance coverage, namely whether it includes rental car reimbursement.⁴

How to Check if Your Car Has Been Recalled

Unsure if your car is under a recall? You can check on the NHTSA website (https://www.nhtsa.gov/recalls) by entering your vehicle identification number (VIN).

To be even more proactive, sign up for recall notification emails at https://www-odi.nhtsa.dot.gov/nhtsa/subscriptions.

The Role of the Government, Manufacturers, and Consumers

The government has federal standards on safety for vehicles. However, it’s not the sole entity that can report safety problems to the NHTSA. Car manufacturers should report them, of course, and consumers can as well. If the NHTSA receives enough complaints about the same issue, the agency will investigate the problem and determine whether the issue violates federal safety standards.

From there, the NHTSA will order the manufacturer to fix the issue, which the company can challenge in federal district court. But if the court rules on the side of the NHTSA, the manufacturer must issue recall notices. Of course, if it’s a problem the manufacturer found itself, it still must report it to the NHTSA and correct the issue, notifying consumers in a timely manner.

Once recall notices are sent, a manufacturer has three possible solutions it can execute:

• Repair: The company will cover the cost of the needed repairs.
• Replace: The company will replace the car with an identical or similar vehicle.
• Refund: The company will give the consumer a full refund for the car’s actual cash value, which takes into account depreciation. Learn more about how insurance companies value cars.

Recall Rates by Manufacturer

Ford had the most recalls in 2022, with 68 recalls potentially affecting more than 8.7 million vehicles. That’s nearly one-fifth of all the recalls that year. Volkswagen came in second, with 12 percent of the year’s recalls and over 1 million vehicles potentially affected, according to data from the NHTSA.⁵

On average, there were 34 recalls per manufacturer in 2022, affecting about 2 million cars each.

While the number of recalled vehicles and equipment increased overall from 2009 to 2019, it’s not a straight line. Recalls peaked in 2015, declined until 2018, and then shot back up in 2019. On average during this time period, there were over 41 million vehicles recalled in the U.S. per year, with an average year-over-year increase of 21 percent.

This information is the latest available from the Congressional Research Service (CRS), which analyzes NHTSA data.⁶ (Data for 2020-2022 is not available.)

The Most and Least Proactive Manufacturers

Recall completion refers to how many vehicles were fixed and are not still on the road with the defect. If a company completes a vehicle recall, it means it either replaced the car, repaired the car, or refunded the consumer to fix the issue.

Based on data from 2010 to 2014, the most recent figures available from the CRS, Tesla has the highest recall completion rates, with an average of 96 percent. Volkswagen and General Motors follow.

Despite having high recall rates, Ford had the lowest completion rates during this time period, with a four-year average of only 58 percent. That’s much lower than the average across all manufacturers, which was 73 percent.

If you get a recall notice, don’t ignore it; it could mean there’s an issue that could cause you to lose control of your vehicle. Staying on top of recalls is critical for any car owner. While no one wants to be involved in a car recall, at least you won’t have to spend a dime on the repairs.

We analyzed data from the following third parties:

• Congressional Research Service
• Consumer Reports
• Kelley Blue Book
• National Highway Traffic Safety Administration
• U.S. Department of Transportation
• U.S. National Archives