The number of car thefts is exploding. Accordingly, insurance costs also increase. How to work around the problem? There are solutions.
I’ll give you some context. In 2018, the average car insurance premium in Quebec was $599. Last year it was $796. Between 2021 and 2022 alone, the increase is $21.
Insurers are struggling with skyrocketing costs. According to the Insurance Bureau of Canada (IBC), compensation costs rose 235% to $372 million from 2018 to 2022. The BAC also specifies: “The proportion attributable to car theft has increased significantly in three years.” Compensation for car theft accounted for 5% (4.90%) of the total compensation paid in 2019. However, in 2022 it will be 12% of paid claims.
Of course, the insurance costs are not only explained by theft. Insurers cite electronics in the car, different alloys, labor shortages, supply chain issues, delays leading to longer rentals of replacement vehicles and inflation.
But thefts make the situation even more complicated.
The number of vehicles stolen in Quebec rose from 4,972 in 2018 to 10,505 in 2022. And while luxury vehicle thefts are on the rise, it is SUVs, which are becoming increasingly popular among consumers, that are of most interest. The thieves.
How to get out of there
A first tip: Before you let yourself be seduced by a model, call your insurer to find out about the possible premium. If that seems too high, ask why.
A good way to avoid expensive car insurance premiums is to avoid purchasing one of the most commonly stolen models in Quebec: Dodge RAM Durango, Honda CR-V, Jeep Grand Cherokee, Lexus RX and NX, Honda Accord or Civic, Ford F-150, Toyota Highlander or RAV4. There you are, you’ve been warned.
On the other hand, many Quebecers took advantage of the pandemic to move. From a car insurance perspective, they often have an advantage.
The statistics don’t lie: If you live on Montreal Island, in Laval, in the suburbs of Lanaudière, Laurentides or Montérégie, car theft there is significantly higher than anywhere else in Quebec. This is therefore one of the benefits of teleworking.
Regions where thefts are least common? The National Capital Region, the North Coast, Saguenay–Lac-Saint-Jean, Estrie…
Advice:
- Regardless of whether your vehicle is on the list of most stolen vehicles or not, your premium will vary from insurer to insurer: it will depend on factors such as where you live, your driving history and whether the vehicle has suffered major disasters in the past (accidents or repeated thefts). . You need to shop around when changing vehicles or renewing your insurance policy.
- Are you moving to where there are fewer car thefts? There’s a good chance your car insurance will be cheaper – unless your claims experience or driving record is poor, or you continue to choose a model popular with thieves.
- Old tips that still work: keep your doors locked at all times, park in a well-lit area or secure garage, place your smart key in a anti-wave case away from the house entrance, use a security tracking system so you can To locate a stolen vehicle, don’t leave anything lying around in the passenger compartment for thieves to see.
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