The impact of vehicle theft is not just economic, but also personal. As the threat grows, insurance companies face increasing costs. To put it in context, CAA Insurance Company has compared the enormity of the current auto theft crisis to a year-round catastrophic event like a hurricane or tornado, but with no end in sight.

At the same time, without timely and meaningful progress to address vehicle theft, the costs facing the insurance industry will only increase, with the average driver then potentially facing higher premiums in the future. But for a driver whose car is stolen, the impacts are wide reaching—something CAA has defined as the hidden costs of vehicle theft. While your insurer will review your claim, there are other immediate effects.

There may be emotional trauma, leaving you feeling vulnerable after having one of your main assets and personal spaces invaded. Rental cars are not always immediately available, so there may also be the stress of dealing with the logistics of not having a car for work and family needs.

While searching for a new vehicle, drivers also face the reality that the cost of cars has increased, and so have interest rates. In the end, victims of vehicle theft may end up paying more than they did previously, and that has a direct impact on household budgets and expenses.

Although thieves tend to target specific vehicles that are in high demand internationally, all drivers should ensure they’re taking the right steps to deter theft and, if necessary, change some bad habits. An April 2024 survey commissioned by CAA Insurance Company found that only 80 percent of drivers lock their doors, less than 40 percent keep their vehicles in a garage and only six percent use a Faraday bag to block their key fob signal.