To beat the slump in car sales, fuelled by the uncertain economic out look and growong job losses, Hyundai Motor America has unveiled a novel approach to the recession-hit US customers.

Dubbed the Hyundai Assurance Program, the South Korean automaker said that people who finance or lease a new Hyundai during the next 12 months can return the car if they ''experience an involuntary loss of income'' within one year of the purchase date.

Hyundai Motor America has entered an agreement with Walkaway USA, LLC, to offer consumers this financial protection in the event of thi losing their jobs and are unable to repay their installmentson the purchase.

Hyundai said it would absorb up to $7,500 in negative equity (the difference between what a vehicle is worth and what is owed on it) for buyers who opt to walk away from their loans. Customers who pay cash for their vehicles don't qualify for the programme.

Hyundai says buyers can return a vehicle for no extra charge within 12 months of purchase if any of the following occurs:

• Involuntary job loss
• Physical disability
• Loss of driver's license for medical reasons
• Job transfer overseas
• Personal bankruptcy filing by a self-employed worker
• Accidental death

To qualify, buyers must have made at least two scheduled payments on the loan or lease and be current on the payments, as well as pay the amount over the $7,500 negative-equity threshold. The value of the vehicle will be determined by the dealer, who will be allowed to re-sell the vehicle, Hyundai said.

Returning the car wouldn't have a negative effect on the customer's credit.

Depreciation can reduce a new car's value by 25 per cent or more during the first year of ownership. But since Hyundai's models are skewed towards low- and moderately-priced cars, the amount should be enough to cover the lost value on most Hyundai vehicles, save for the top-of-the-line Genesis sedan, which has a starting sticker price of around $32,000, and the Veracruz SUV.

Hyundai, a relatively small player in the US market with a 3 per cent share in 2008, offers an economy range of models. Inspite of Hyundai sales being reasonably steady in India where it registered an overall 55.7-per cent growth for December 2008, it has seen a huge fall in demand in the US, where auto sales have been badly hit

In December, Chrysler's car and truck deliveries fell by 53 per cent, General Motors' fell 31 per cent, while Ford Motor's were down 32 per cent, Nissan dropped by 31 per cent and Mazda's by 26.8 per cent.

Even Honda and Toyota, which earlier had been weathering the industry downturn relatively well, reported declines in their US sales of 34.7 per cent and 36.7 per cent, respectively, in December from a year earlier.

Hyundai, whose sales dropped by 48.3 per cent  - among the worst among automakers - feels this marketing push may get its sales chugging.