Worried about the security of your vehicle? No wonder. Not only has auto theft been increasingly in the headlines, but anecdotally, many of us know of someone whose car has been stolen right from their driveway, a parking lot or worse—via carjacking.

But here’s why you should feel reassured. Behind the scenes and making news are multiple protective measures being put in place to help combat this issue. They range from enhanced government legislation and a dedicated focus by law enforcement, to greater consumer education and a variety of anti-theft devices available to the public.

Collectively, these efforts help create a safer environment for drivers across the country.

Government measures against auto theft

In Ontario, through the Office of the Solicitor General, the province has committed funding over three years to establish community safety grants and create response teams to help dismantle the primary source of vehicle theft—organized crime. The provincial government also explored ways to work in partnership with the federal government and numerous sectors to address the challenges.

“The Government of Ontario recognizes that car thieves are serious criminals who cannot be allowed to victimize Ontarians,” says Michael Kerzner, Solicitor General of Ontario, “which is why we are investing more than $100 million in new measures to help police identify and help battle organized crime networks and put thieves behind bars.”

This includes $18 million invested in the Preventing Auto Thefts (PAT) grant that is funding 21 projects across the province for new and enhanced crime-fighting measures and $49 million for four helicopters to help GTA police services track these criminals.

At the federal level, earlier this year, the government held a National Summit on Combatting Auto Theft. This one-day meeting included law enforcement, the auto sector, insurers and representatives from every level of government discussing immediate and long-term solutions. CAA was the only consumer-focused organization invited to speak at the event and represent the interests and perspectives of drivers across the country.

The call to manufacturers

When people are talking about car theft, one of the most frequent questions is: What are the auto manufacturers doing to protect Canadians? This was discussed at length at the federal summit and continues to be a common pain point for drivers.

In a recent CAA Insurance survey, 86 percent of respondents believe that carmakers should be developing and offering solutions to prevent vehicles from being stolen. That’s why CAA, along with other organizations, has been calling for updated federal standards. Doing so would be an important first step to ensure that new cars are equipped with features that would make it harder for thieves to gain access to your car in the first place.

Working together

Canada isn’t unique in experiencing a rise in coordinated vehicle theft. While the process can be complex, there are steps that can be taken, both immediately and over time, to help protect drivers and lessen the risk of cars being stolen.

For Canadians to see timely and meaningful change, the sectors involved need to commit to work together, so vehicle theft levels begin to decline. That includes drivers becoming more vigilant and adopting anti-theft devices and practices. (Please see “How to Keep You and Your Vehicle Safe,” page 41.) Just as cars have evolved from key to keyless ignition, safety measures need to advance. In a world of two-factor authentication, consumers are used to completing a second stage to access information and systems.

Canada’s banking system is a perfect example of where the evolution of security was seamless and did not negatively impact consumers. Canadians should expect updated and modernized vehicle-safety regulations, giving drivers peace of mind around the security of their car.

Simply put, the status quo is not sustainable. While there are many tools on the market to help keep our vehicles secure, collaboration is a powerful and necessary deterrent against auto theft.

Stealing Snapshot

The numbers are staggering. A vehicle is stolen from a driveway or parking lot, on average, every five minutes across Canada, leaving unsuspecting victims to pick up the pieces after their second-most-valuable possession has disappeared.

According to industry estimates, the cost of vehicle theft in 2023 was $1.5 billion, while the impact in Ontario alone exceeded $1 billion. Data underscores the severity of this issue, with a leading source of information being Équité Association. A not-for-profit, Équité is the national authority on insurance crime and fraud prevention, supporting property and casualty (P&C) insurers in Canada. Équité’s data shows that auto theft losses tripled from 2018 to 2022 across the country. Between 2021 and 2023, auto theft increased 48.2 percent in Ontario, 34 percent in Atlantic Canada, 57.9 percent in Quebec and 5.5 percent in Western Canada.

How did we get here?

Cars being stolen is not a new phenomenon, but how they are being taken and where they are headed has become far more sophisticated. Gone are the days of stealing cars for joyrides. In its place: a coordinated, international effort for vehicles to be sold at inflated prices in other countries.

• The convenience we enjoy—cars equipped with push-button starters and keyless entry—have, in some ways, made our vehicles susceptible. Tech-savvy thieves use electronic tools to steal vehicles without damaging windows, locks or steering columns. In many cases, these vehicles are stolen quietly and in under two minutes. • Part of the challenge is that the Federal Motor Vehicle Safety Regulations in Canada have not been updated since 2007. We’ve experienced a significant evolution in technology over the last two decades, and those devices that have become commonplace (tablets, laptops, Bluetooth, smartphones) are also being used to help gain entry to vehicles. • Clearly, vehicles have evolved faster than regulations—meaning those intended to keep our cars safe are now in urgent need of updating to include the latest anti-theft technologies.

The Hidden Costs of Vehicle Theft

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—easy adjustments Canadians can make today to help reduce their risk.

Solutions in Sight

While CAA continues to advocate for updating vehicle regulations, there are solutions available for drivers to better secure their vehicles today.

One of them, multi-factor authentication (MFA), is a common process that consumers experience daily when using various digital platforms (financial services or retail apps, for example), and could add security against vehicle theft. The process is simple: The first factor is something the user has, like a key fob, while the second factor is something a user knows, such as a unique code that must be entered to start your vehicle. Some car manufacturers have already begun implementing multi-factor authentication to enhance vehicle security.

Also growing in popularity are after-market engine immobilizers. As the name suggests, this is not part of a vehicle’s original equipment but is added after and can provide considerable defense against theft and incorporate multi-factor authentication.

The process of authentication varies by product, but here are some more common approaches: • Authentication with a personal identification number (PIN) or a code—A driver uses their vehicle’s key fob to start their vehicle like normal, then performs an additional step of using a unique PIN code or sequence on the dashboard console for the car to be operational. So, for example, if thieves intercepted the car’s key fob signal, they wouldn’t be able to get the car in motion without the correct PIN or sequence. Without completing both steps, immobilizers would block the engine from functioning. • Mobile apps—Some manufacturers have created mobile apps as an additional form of authentication where the driver requires both the key fob and the app activated to start the vehicle.

Because after-market engine immobilizers vary, research is key before having one installed. Some do not interfere with a vehicle’s control area network (CAN) bus system. The CAN bus system is effectively the brain that enables communication with various applications in a car. Immobilizers that do not require the CAN bus system but use existing vehicle features instead help ensure that vehicle function is not disrupted.

Installing an after-market engine immobilizer is complicated and is not a do-it-yourself project. That’s why it is recommended that an immobilizer only be installed by a technician authorized by the product manufacturer.

How to Keep You and Your Vehicle Safe

To help mitigate the risk of vehicle theft, CAA Insurance recommends the following:

• Secure your parked vehicle with a wheel lock, brake pedal lock or steering-wheel lock (e.g., The Club).
• Secure your car key fob by storing it in a Faraday box or pouch to prevent signal hacking.
• Consider a professionally installed after-market immobilizer—an electronic device that prevents a car from starting without the correct key or transponder. Certain immobilizers make it almost impossible for someone to steal your car.
• Lock your doors (both car and home) and park your car inside if you have a garage.
• Enable or install multi-factor authentication capabilities in your car.
• If you own multiple vehicles, park the less valuable one closer to the street.
• Install motion sensors and a camera on your driveway to capture any activity.
• Cover the vehicle identification number (VIN)—so it’s not visible on the dashboard.
• Store a GPS tracker (e.g., AirTag) to track your vehicle should it be stolen.
• Ensure items are out of sight and do not leave valuables in your car.
• Always avoid leaving your vehicle unattended while it is running.
• CAA Insurance urges individuals to report any suspicious activity to police and avoid confrontations with thieves.

Questions about protecting your vehicle? Email autoadvice@caasco.ca or call 1-866-464-6448 with questions for CAA experts.