Vehicle Theft And How Insurers Are Responding To It
Vehicle Theft And How Insurers Are Responding To It
Vehicle theft is rapidly growing in Ontario, causing concern for car owners and insurance companies. This increase in car theft incidents is significantly affecting insurance prices. And approximately $125 of each premium is used to recover stolen vehicles. To tackle this situation, insurance companies are implementing various measures. These actions include raising premiums or encouraging car owners to install anti-theft deterrents to protect the most stolen vehicles and mitigate losses.
We have compiled a list of PrimeService Insurance partners and their strategies for addressing the situation. This information is continuously developing, save this blog and revisit for updates from other insurers.
***The quickest way to install a Tag anti-theft device is to contact your nearest Speedy Auto Glass. Let them know your insurance provider, as they may have discounts available through your insurer.
Insurance Companies' responses to increased vehicle theft, and what it means for you:
Insurance Companies' responses to increased vehicle theft, and what it means for you:
Aviva General Insurance Company:
Aviva has added KYCS Locate to its list of approved theft-recovery devices for Ontario Private Passenger Vehicles. KYCS Locate, also known as Honda Plus Locate and Acura Plus Locate, uses a multi-layered strategy in collaboration with Crime Stoppers Canada and law enforcement to recover stolen vehicles. Customers with high-theft vehicles in high-risk areas who install KYCS Locate or Tag can have the High-Theft Vehicle Surcharge removed from their policy. Additionally, they will receive a Theft Recovery Device Discount on comprehensive coverage for up to three policy terms.
CAA Insurance Company:
In response to the evolving auto theft crisis, CAA will increase the High Theft Risk Premium Surcharge from $500 to $1,500, effective June 15, 2024, for new policies and June 30, 2024, for renewals. However, there are opportunities to mitigate this surcharge through the installation of specific anti-theft measures. Installing eligible After-Market Engine Immobilizers will completely remove the surcharge, saving $1,500. Utilizing other eligible Preventative Anti-Theft Devices or accessories can also reduce the surcharge by a partial amount. Consult with your insurance broker to understand how these measures can affect your premium.
Chubb Insurance Company:
Chubb has also partnered with Tag. Eligible customers who own vehicles at a high risk of theft will receive an auto theft tracking device (Tag) at no extra charge. Chubb will send offer letters to clients whose vehicles are at high risk, informing them of this partnership. This limited-time offer is available until September 19, 2023. By installing this technology, you’ll not only gain the advantage of added security, but you’ll also be eligible for a 10% Anti-Theft discount on your comprehensive auto policy premium or All-Perils premium.
Echelon Insurance:
Starting November 1, 2024, for new policies, and January 1, 2025, for renewals, Echcolen Insurance will introduce a $1,500 premium surcharge for high-theft risk Private Passenger Vehicles (PPV) in Ontario that are four years old or newer. To avoid this surcharge, you can install eligible After-Market Engine Immobilizers. Moreover, other approved anti-theft devices—such as ignition cut-off systems, two-factor authentication, or GPS tracking—can help partially reduce the surcharge. Ensure to consult your insurance broker to find the best anti-theft solution that fits your needs and budget.
Economical Insurance:
Economical Insurance has partnered with Tag to offer free stolen vehicle tracking and recovery systems to eligible personal auto customers with frequently stolen vehicles, such as the Dodge Ram 1500, Jeep Wrangler, and Toyota Highlander (model years 2021 and newer). These customers can have the Tag system installed for free by November 3, 2024. Additionally, eligible individually rated commercial auto (IRCA) customers in targeted areas of Ontario with high-theft vehicles, including the Lexus LX, Range Rover, and Range Rover Sport (model years 2018 and newer), can have the Tag system installed for free by January 31, 2025. Installing Tag will waive the high-theft vehicle surcharge of $1,500 and provide an Anti-Theft Discount. Economical will send letters to qualifying customers, instructing them to schedule an appointment at a Speedy Glass location and present the letter as proof of eligibility for free installation. Customers with high-theft vehicles not eligible for free installation can purchase the Tag system at a discounted rate of $299.
Gore Mutual Insurance Company:
Starting September 11, 2023, for new customers and from September 18, 2023, for renewals, an additional premium of $500 will be applied to customers with high-risk vehicles in the targeted area of Ontario. This premium increase will apply to high-risk vehicles from the model year 2019 and onwards. Here’s the list of impacted vehicles:
- Acura RDX.
- Chevrolet/GMC Silverado and Sierra 1500.
- Dodge Ram.
- Ford F150.
- Honda CR-V.
- Land Rover/Range Rover.
- Lexus RX300-500.
- Jeep Grand Cherokee and Wrangler.
- Toyota Highlander, Tacoma and Rav 4.
Intact Insurance:
Intact has introduced a $500 high theft risk premium for insurance policies covering high-risk vehicles, effective July 7, 2023, for new business and August 7, 2023, for renewals. To waive this surcharge, you can install approved anti-theft devices, including Tag, KYCS, and Domini (VIN lock). Additionally, if you install one of these superior anti-theft devices; you may qualify for a 20% discount on your comprehensive premium. Furthermore, starting July 6, 2024, for new business and August 6, 2024, for renewals, Intact will no longer offer OPCF 43 for high-theft vehicles without a Tag device installed.
Jevco Insurance:
Jevco has partnered with Tag to offer the anti-theft device at a discounted price for clients with vehicles at high risk of theft. Impacted clients will receive a letter about these changes. To install Tag at the Jevco rate, contact the Speedy Glass service center and book an appointment. If you wish to add another anti-theft system besides Tag, please consult with your insurance broker for Jevco’s approval beforehand. If you opt not to install anti-theft devices, a premium surcharge of $500 will be applied to your policy upon renewal from October 13th.
Pembridge Insurance:
Pembridge is providing complimentary Tag installation for vehicles at a higher risk of theft. Eligible customers have received a letter outlining the necessary steps. To benefit from this offer, you must book an appointment with Speedy Glass Center by June 30th, 2024. Upon installation, you become eligible for a 10% discount on comprehensive coverage. If you choose not to install Tag, a high-risk surcharge will be added to your policy. Existing customers with Tag already installed can avail a 10% discount upon renewal starting February 19, 2024, and for new business effective January 19, 2024.
Unica Insurance:
Starting January 4, 2025 for new policies and February 3, 2025 for renewals, Unica Insurance will introduce annual surcharge for high-theft vehicles. Installing a Tag Tracking system can help offset this fee and qualify you for the Theft Recovery Discount. Unica customers can also access discounted Tag installation services at any Ontario Speedy Glass location by providing a valid pink slip.
If these surcharges impact your existing policy, your insurance company will send you a letter with full details. Each insurance company has different criteria to handle the situation. If your vehicle falls among the most stolen ones, it is advisable to contact your insurance broker for insights into how these industry changes may impact your coverage. A PrimeService broker can offer guidance during this challenging time.
It is best to be proactive and take preventive measures to avoid being a victim of car theft. Check out our last blog, where we share valuable tips to protect your vehicle against theft.
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