The Insurance Bureau of Canada has praised the federal government’s National Action Plan on Combatting Auto Theft, calling it comprehensive and informed. The plan includes many solutions proposed by the property and casualty insurance industry. However, the success of the plan will ultimately be measured by whether it is able to effectively reduce auto theft in Canada. The IBC emphasized the need for swift action, as the auto theft crisis in the country is worsening. Insurance claims for stolen vehicles reached a record-breaking $1.5 billion in 2023, representing a 254 per cent increase since 2018.
Auto theft not only disrupts the lives of Canadians, causing concern and trauma, but also contributes to rising insurance premiums. The IBC highlighted the fact that auto theft is not a victimless crime and urged collaboration between insurers, law enforcement, port authorities, and auto manufacturers to make vehicles more difficult to steal. The success of the plan relies on the collective efforts of these stakeholders to address the increasing prevalence of auto theft in the country. The plan was announced following a national summit on auto theft and includes measures and funding to address the issue.
The National Action Plan on Combatting Auto Theft includes changes to the Criminal Code that introduce stiffer penalties and new offenses targeting car thieves and the tools they use. While the plan does not specifically require automakers to address gaps in vehicle technology exploited by thieves, it acknowledges commitments from Transport Canada to modernize Motor Vehicle Safety Regulations to incorporate technological advancements. Critics have expressed concerns about wireless key fob programmers that can be used to start stolen cars, emphasizing the need for improved security measures in vehicles. Automakers have stated that they are continuously working to enhance the security of their vehicles to prevent theft.
The IBC’s support for the National Action Plan on Combatting Auto Theft underscores the urgency of addressing the auto theft crisis in Canada. The plan reflects the industry’s proposed solutions, but its effectiveness will depend on timely implementation and collaboration among stakeholders. The rising costs of insurance claims for stolen vehicles highlight the financial impact of auto theft on Canadians and the insurance industry. By working together, insurers, law enforcement, port authorities, and auto manufacturers can help prevent auto theft and reduce its detrimental effects on individuals and communities. The plan’s inclusion of changes to the Criminal Code and commitments to modernize safety regulations demonstrate a comprehensive approach to combatting auto theft in Canada.
