Auto theft claim rates across Canada decreased by 27 per cent in the first six months of 2025 compared to a year ago due to federal government intervention, according to Insurance Bureau of Canada (IBC).
According to IBC data, in the first half of 2025, the number of claims were at 12,887 compared to 17,595 in the first six months of 2024. Between the same period, the claim losses decreased by 34 per cent from $547.8 million in 2024 to $361.5 million in 2025.
In February 2024, the sharp rise in car thefts during the pandemic years pushed the federal government to call a National Summit to Combat Vehicle Theft which brought together different levels of law enforcement, border and port officials, insurers and auto manufacturers to create a national action plan.
“The federal government in particular has clearly made it a priority and that’s been demonstrated in all of its efforts since its national summit in 2024 and that’s really making a difference,” said Hanna Beydoun, auto policy director at IBC.
“We’re seeing stronger coordination with law enforcement, more attention on organized crime and vehicle exports and increased investments to tackle auto theft,” Beydoun added.
The changes listed in the National Action Plan include preventing stolen vehicles from leaving Canada and dismantling supply chains by giving the Canada Border Services Agency better access to carrier facilities and port warehouses while investing in better technology. Improve data sharing between law enforcement to dismantle international organized crime networks and making vehicles harder to steal by having stronger regulatory requirements from insurance companies.
Thomas Khoury, service manager at the car dealership Toyota Gabriel St-Laurent, said, “Since 2024, we’ve had a big decrease in the number of recovered cars.”
According to Khoury, this means either there were fewer cars stolen or the thieves got better at shipping the stolen cars far off never to be found.
Khoury added that insurance companies were requiring anti-theft devices to be installed on new car purchases.
“I had customers that installed whatever was required and then had an impact on their insurance,” Khoury said. “And when others refused to install this (device) on their car since they won’t and insurance was very expensive.”
Automakers have also been equipping newer models with safety features like SOS buttons, that can be used to track a vehicle’s whereabouts.
Despite the progress seen over the last couple of years, IBC said more action was needed as the claim rates and losses continued to be historically high after a surge during the pandemic.
“We can’t take our foot off the gas when it comes to auto theft,” Beydoun said.
“We are seeing an increase in 371 per cent over the last decade and Canadians are still feeling that impact. Criminals are adapting super quickly. So staying ahead means focusing on areas that can make a big difference,” she added.
