How Does Vehicle Theft Impact Insurance Costs? [Revealed]

How Much Does Car Theft Cost?

Car theft is a costly problem, with an estimated annual loss of $6 billion. Insurance companies are forced to pay out a lot of money in car theft claims, with the average loss per theft at over $7,700. However, if you have comprehensive coverage, the insurance company will usually pay only the current market value of the car, so you could be out of pocket for the difference. Furthermore, certain vehicle models tend to be more frequently stolen, resulting in higher insurance premiums for drivers of those models. It is highly recommended to have comprehensive coverage, as it provides protection from theft, vandalism and glass breakage. Additionally, even if your car is stolen, your insurance rates will not go up.

Turnart Steering Wheel Lock

Steering Wheel Lock

Turnart Steering Wheel Lock

  • Adaptable and Secure: adjustable to fit any car with an inner diameter of the steering wheel between 6.6-12.5 inches
  • Keys Cannot be Duplicated: each lock has its own unique key, making it impossible for others who bought the same product to get into your car
  • Special Design: high-quality steel that never rusts, the felt pads that stick to the metal “U” won’t damage the steering wheel
  • Easy to Use: lock or unlock it within 5 seconds, saving you valuable time and ensuring your car’s security
  • What You Get: steering wheel lock, 3 keys, a protective cap, blue fixing Velcro, 2 inner layer pads, a worry-free 12-month warranty, and friendly customer service

TOTOMO GPS Tracking Anti-Theft Sticker (8 Pack)

Anti-Theft Stickers

TOTOMO GPS Tracking Anti-Theft Sticker (8 Pack)

  • Multipack: set of 8 stickers, 4 front adhesive and 4 back adhesive
  • Noticeable as Deterrents: bold and eye-catching design deters theft
  • Weather-Resistant: made from durable and weather-resistant materials
  • Self-Adhesive: easy installation without special tools
  • Security: prominently displays “GPS Tracking” for added security
  • Cost-Efficient: affordable and effective way to protect your vehicle from theft

Tevlaphee Universal Steering Wheel Brake Lock

Steering Wheel Lock

Tevlaphee Universal Steering Wheel Brake Lock

  • High Quality: anti-theft device made of high-quality aluminum alloy and steel
  • Special Design: double lock cylinder increases strength and provides a lower aperture ratio
  • Universal and Adjustable: three-section telescopic hydraulic brake lock can be compressed according to the height of the steering wheel brake/pedal/clutch
  • Easy to Use: can easily lock car’s steering wheel and clutch with the key
  • Superior Customer Service: each car lock set includes 1 lock unit, 3 keys, and 2 adhesive tapes

GPS Tracking Anti-Theft Stickers (2 Pack)

Anti-Theft Stickers

GPS Tracking Anti-Theft Stickers (2 Pack)

  • Stop Lazy Criminals: GPS tracker stickers make your valuables less appealing to thieves, providing peace of mind.
  • Small But Noticeable: These 2″ x 4″ tracker decals are unintrusive but still noticeable as an effective deterrent to theft.
  • Sturdy Material: The alarm stickers are printed onto 3M vinyl using state-of-the-art printing technology, ensuring their durability.
  • First Line of Defense: These warning system stickers offer a first line of defense against lazy criminals looking for an easy target, perfect for use with bike tracker anti-theft systems.
  • Perfect Bike Stickers: These low-profile decals not only serve as GPS tracking stickers for car theft safety, but also make great trek bicycle decals.

Tevlaphee Steering Seat Belt Wheel Lock

Steering Wheel Lock

Tevlaphee Steering Seat Belt Wheel Lock

  • Keep Your Vehicle Safe: steering wheel lock secures your steering wheel, making it difficult for thieves to turn the steering wheel and use the seat belt
  • Strong Braided Steel & PVC Coating: made of high-strength braided steel wire that is 5mm thicker than others, providing greater strength and flexibility
  • Universal Use in Most Vehicles: steel cable of the car steering wheel lock is long enough to adjust and lock the steering wheel and car seat tightly
  • Easy to Get Car Security: designed with a steering wheel and seat belt connection that can be installed in seconds
  • Get Your Money’s Worth: car security anti-theft products come with a one-year warranty

How Does Vehicle Theft Impact Insurance Costs?

Vehicle theft can have a significant impact on insurance costs, as insurers take into account factors like theft rates when setting premiums. Comprehensive coverage is typically included in standard auto insurance policies and can help cover the loss or damage caused by a stolen car. However, if a car is frequently targeted by thieves, the risk associated with it increases and this can lead to higher insurance premiums. Additionally, if a person has a history of making claims for stolen vehicles in a short period of time, their rates could go up or their coverage could be removed from their policy. Lastly, resale values may also be affected if the car is more prone to theft, resulting in unfair financial losses for the car owner.

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Ways to Reduce the Impact of Vehicle Theft on Your Insurance Costs

1. Buy Comprehensive Coverage Car Insurance

It is important to buy comprehensive coverage car insurance because it covers a variety of damages, such as vandalism and theft, that could otherwise be costly to repair or replace out-of-pocket. Comprehensive car insurance also helps cover the value of a stolen car and the damages caused by a break-in. Comprehensive coverage is especially important if you live in an area with high rates of crime. Without it, you will have to pay for the damages yourself, which can be especially costly if your car is one of the most-stolen vehicles. While car insurance rates vary, it is important to consider the cost of premiums plus the deductible over the value of your car when deciding whether to keep this coverage. Ultimately, comprehensive car insurance can provide peace of mind and financial security in case of theft or other damages.

2. Compare Insurance Companies and Policies

Comparing insurance companies and policies can help reduce the impact of vehicle theft on your insurance costs by allowing you to compare and contrast different options to find the best plan for your specific needs. Shopping around for insurance policies can help you find a lower premium rate or better coverage for the same price. Additionally, you can look for policies with features that may help mitigate the impact of car theft, such as special theft coverage or accident forgiveness. By taking the time to compare and contrast different insurance companies and policies, you can save money on your auto insurance and get the best coverage for your needs.

3. Consider Adding Vehicle Theft Protection

Adding vehicle theft protection is one way to help reduce the impact of vehicle theft on your insurance costs. With so many cars being stolen each day, having an anti-theft device installed in your vehicle can be an effective way to deter criminals. Some insurance companies will even offer a discount on your premium if you have an alarm system or a steering wheel lock. Additionally, parking your vehicle in a well-lit area and installing a location tracker are both effective precautions you can take to help prevent theft. By taking these steps, you can avoid or minimize the costs associated with vehicle theft, which can ultimately save you money on your car insurance.

4. Check Your Personal Car Theft Rate

Checking your personal car theft rate can help you reduce the impact of vehicle theft on your insurance costs by allowing you to take proactive measures to protect your vehicle. By finding out which models are at a higher risk of theft, you can make an informed decision when purchasing or leasing a car. You can also add comprehensive coverage to your policy and look into anti-theft devices like immobilizers or location trackers. Finally, parking your car in well-lit areas and always locking your doors and windows can also help prevent vehicle theft and, in turn, reduce your insurance costs.

5. Add Additional Coverage for Renter Vehicles

Adding additional coverage for rented vehicles can help reduce the impact of vehicle theft on your insurance costs by providing extra liability coverage, collision and loss damage waiver, personal effects coverage, and personal accident insurance. These coverages are designed to help pay for repairs, medical bills, and stolen belongings in the event of a vehicle theft. Additionally, comprehensive car insurance, all perils insurance, or specified perils insurance can help cover the costs of replacing your vehicle after a theft or attempted theft.

6. Check Your Car’s Theft Rate

Checking your car’s theft rate can help reduce the impact of vehicle theft on your insurance costs by taking measures to reduce the risk of your vehicle being stolen. This includes adding anti-theft devices such as steering wheel locks or alarm systems, parking in well-lit areas, and installing a location tracker. Additionally, researching cities with the highest car-theft rates and avoiding those areas can help make your car a less desirable target for car thieves. Ultimately, by taking precautionary steps and minimizing your risk, you can help keep your insurance costs low.

7. Consider Upping Your Deductible

Increasing your deductible can help reduce the cost of your insurance premiums if your vehicle is stolen. The higher the deductible you choose, the less you will pay in monthly premiums. This is because a higher deductible results in a lower risk to the insurer. If your car is stolen and you have a high deductible, you will have to pay that deductible in order to receive the full insurance payout. However, if you choose a lower deductible, the insurer will have to pay a higher amount and your premiums will reflect that. By increasing your deductible, you take on more of the risk and this can result in lower insurance costs.

8. Add Theft Protection for Attached Parts

Adding theft protection for attached parts, such as custom parts and equipment, can help reduce the impact of vehicle theft on your insurance costs. CPE coverage, which is available from Progressive and most other insurers for an added cost, can cover stolen parts or equipment. This means that if your aftermarket parts or equipment are stolen, you can be sure that you’ll be covered up to a certain dollar value. Comprehensive coverage typically insures up to $1,000 in repair or replacement costs for custom parts and equipment, and CPE coverage can provide coverage for the costs of repairs or replacements above and beyond the $1,000 limit. Additionally, car owners can take other measures to help prevent a car from being stolen, such as investing in a car alarm or immobilizer, in order to reduce their insurance rates.

9. Add Carrying Coverage for Certain Perils

Adding car insurance coverage for certain specified perils, such as comprehensive insurance, all perils, or specified perils coverage, can help reduce the impact of vehicle theft on your insurance costs. If your car is stolen or damaged through non-collision related events such as vandalism or harsh weather, these coverages will pay for specific losses that may not be covered by collision coverage. Furthermore, some of these coverages may include protection against theft by a household member, repair technician, or employee, which can help to further reduce your insurance costs.

10. Monitor Your Insurance Company’s Updates

Monitoring your insurance company’s updates can help reduce the impact of vehicle theft on your insurance costs by providing you with the latest information on car theft trends and the factors that can affect your premiums. Knowing which cars are on the most-stolen-vehicles list can help you make an informed decision about whether or not it’s worth it to pay for collision or comprehensive insurance coverage. Additionally, understanding the other factors that can raise your insurance premium, such as your location, driving record, mileage, and credit score, can help you take the necessary steps to reduce your risks and keep your premiums low.


What is vehicle theft?

Vehicle theft is the illegal taking of a motor vehicle without the owner’s consent. It is a criminal offense and is on the rise in Canada, with a reported 80,000 vehicles stolen in 2021 – a 1% increase from the previous year. In addition to leaving your keys in the car, there are other car theft trends to be aware of. Common methods of vehicle theft include using a vehicle identification number, smart key fobs, and Apple AirTags.

Having the right insurance coverage, like comprehensive coverage, may cover you if your car is stolen. Also, car insurance rates may be higher if your vehicle is at a higher risk of being stolen. To prevent this, you can take certain precautions like using anti-theft devices, parking in well-lit areas, installing an immobilizer, and installing a location tracker.

Comparing car insurance quotes can help you find the best rate for your vehicle, so make sure to do your research before purchasing a policy.

How does vehicle theft impact car insurance premiums?

Vehicle theft is a major problem in Canada, with an average of one car stolen every six minutes. As the stolen vehicle trend increases, so does the risk for car owners. This can have a direct impact on car insurance premiums. Insurance companies evaluate the risk associated with insuring a car and factor in the probability of a vehicle being stolen. Cars that are considered high risk for theft and drivers who live in theft-prone areas may be charged higher rates. To combat rising premiums, some insurers offer programs for anti-theft technology to help reduce the risk of theft.

What is the difference between theft and collision coverage?

Theft coverage and collision coverage are both part of comprehensive auto insurance, but they have different purposes. Collision coverage covers damage to your car if you hit or are hit by another vehicle or object. Theft coverage covers the cost of your car if it is stolen and not recovered, or the repair cost of any damage done to your car if it is broken into. Both types of coverage can help you financially in the event of an accident or theft, but they are not interchangeable.

What happens if my car is stolen and I don’t have insurance coverage?

If your car is stolen and you don’t have insurance coverage, you will not be able to get any compensation for the value of your car. This means that you will have to pay for the cost of a new car out of your own pocket. Additionally, any valuable items that were in your car at the time of the theft will not be covered, and you will be solely responsible for their replacement. Therefore, it is important to have comprehensive car insurance coverage to ensure that you are financially protected in the event of a theft.

How can I protect my car from theft?

Protecting your car from theft can seem like a daunting task, but with the right precautions, you can keep your car safe. Here are the steps you can take to protect your car:

  1. Use Anti-Theft Devices: Anti-theft devices such as a steering wheel lock or an alarm system are highly effective in deterring potential thieves.
  2. Park in Well-Lit Areas: Park in well-lit areas to reduce the likelihood of your car being stolen since car thieves usually do not want unwelcome attention.
  3. Install an Immobilizer: Installing an immobilizer can prevent hot wiring and keep your car safe from theft.
  4. Install a Location Tracker: Location trackers are also a great way to keep tabs on your car and make it easier to recover if it is ever stolen.
  5. Lock Your Windows and Doors: Locking your windows and doors every time you exit your vehicle is always a great first defence against theft.
  6. Wrap Keys with Foil: Wrapping your keys in foil when you’re not using them helps prevent thieves from copying the access code it emits, thus keeping your car safe from theft.
  7. Don’t Leave Your Car Running: Never leave your car running in the driveway to warm up during the winter months, as this is an easy target for thieves.
  8. Keep Your Car Clean: A tidy, empty interior is a really effective theft deterrent.
  9. Have Vehicle Identification Number Etched: Having your vehicle identification number etched onto every window on the car can help to reduce insurance premiums by 15 percent.
  10. Stay Aware: Lastly, staying aware of car theft trends and taking precautionary steps can help you keep your car safe from theft.

What is the average payout for a car theft claim?

The average payout for a car theft claim is just over $7,700. This figure comes from the fact that car insurance companies pay out a total of around $6 billion per year in theft claims. However, this payout can vary due to several factors, including the actual cash value of the car, the cost to repair the car after it is recovered, and the cost of temporary transportation expenses. If the car is a total loss, the insurer will typically pay out the actual cash value of the car minus any applicable deductible. Additionally, gap coverage may be necessary if the amount owed on the car is greater than the car’s actual cash value.

Are there any discounts available for vehicle theft protection?

Are there any discounts available for vehicle theft protection? [Comparative evaluation]

Yes, there are discounts available for vehicle theft protection. Many car insurance companies offer discounted rates to drivers who equip their vehicles with anti-theft devices. Aviva Canada and its subsidiary, Trader’s General Insurance Company, have partnered with Tag to help lower the risk of car theft in Ontario. Progressive also offers an anti-theft discount in some states. Additionally, you may be eligible to receive a discount if you have your car’s vehicle identification number etched into the window or door glass. is a free and independent rate comparison website that allows Canadians to compare rates for various financial products, like auto and home insurance, mortgages, and credit cards.

Are there any rental car reimbursement options if my car is stolen?

Are there any rental car reimbursement options if my car is stolen? Yes, many auto insurance policies can help cover your temporary transportation expenses if your car is stolen. Your policy may include a 48-hour waiting period before payment is issued, and usually reimbursements will start after this time and end when the car is either repaired, returned, or you have been reimbursed. For more information on what your policy covers, get a quote online or call us at 888-413-8970.

What is the difference between car theft and vandalism?

Car theft and vandalism are two different types of crimes that involve damage to an automobile. Car theft is the unauthorized taking of a motor vehicle with the intent to permanently deprive the owner of it, whereas vandalism is the intentional destruction of property.

In terms of insurance coverage, car theft is covered by comprehensive insurance, whereas vandalism is covered by liability insurance. Comprehensive coverage helps cover the cost of repairing or replacing a stolen car, whereas liability insurance helps cover the costs of damages caused by a break-in or vandalism.

In terms of preventing a car from being stolen, it is recommended to park in a well-lit area and to install a visible deterrent, such as a steering wheel lock or an alarm system, to make the car a less desirable target to thieves. Additionally, it is important to notify the police as soon as possible if your car is stolen, as this will help the outcome of any insurance claims.

What is the likelihood of my car being stolen?

The likelihood of your car being stolen depends on a variety of factors, including the security measures you have in place, the make and model of your car, and the area you live in. According to the Insurance Information Institute, the cities with the highest car theft rates in Canada are Albuquerque, NM; Anchorage, AK; Pueblo, CO; Redding, CA; and St. Joseph, MO. The top five most-stolen vehicles are the Honda Civic (especially the 1998 model year), Honda Accord, Ford F-150, Chevrolet Silverado, and Toyota Camry. Taking precautions, such as investing in an anti-theft device, parking in a well-lit area, and always locking your windows and doors when you exit your car, can help decrease the likelihood of theft and keep your insurance rates lower.