Canada’s Insurance Bureau says that rising vehicle theft has led to an increase in claims costs by 65 percent over three years.
The Insurance Bureau of Canada (IBC) said that auto theft claims costs reached $110.3 million in 2024, compared to $67 million in 2021.
The province’s two biggest cities, Calgary and Edmonton, were worst affected, with auto theft claims increasing 81 percent and 79 percent respectively between 2021 and 2024, according to the report released on July 3.
It said that auto theft costs in Alberta have risen 161 percent since 2014.
“The auto theft crisis persists in Alberta at a time when the province’s auto insurance system is already under tremendous strain from tariffs, inflation, growing legal costs, and rising vehicle repair and replacement costs,” said Aaron Sutherland, vice-president, Pacific and Western, at IBC.
While Sutherland credits the provincial government’s moves on auto insurance reforms in fall 2024, he said that more is needed to be done, including finding ways to curb auto theft.
The province has the highest per capita vehicle theft rate in the country, according to the Équité Association, an insurance crime watchdog.
It said that cases of re-VINing vehicles, which involves putting fake VIN numbers on stolen vehicles, have been “surging” in Alberta.
Its a problem that IBC says requires additional steps from the government, including preventing VIN override functions at registries. Currently, registry agents are able to override the input system for VINs, which allows an unconfirmed or invalid VIN number to be entered. IBC said this makes it easier to change vehicle information for theft or fraud.
The IBC has also called on the province to update vehicle bills of sale, which it says will make it more difficult to resell stolen vehicles.
It has also recommended the province restrict third-party vehicle registrations to dealerships only.
Lastly, IBC has advised the province should establish an insurance validation program, which would let law enforcement and Alberta auto registers confirm instantly if a vehicle has valid insurance.
Alberta’s Ministry of Treasury told The Epoch Times in an email that the government has taken “strong action” to ensure vehicle insurance is affordable.
“At the same time, Alberta is cracking down on auto theft. Alberta’s government is adding more boots on the ground with historic investments to hire hundreds of new police officers and expand law enforcement resources in high-crime areas,” the email said.
It also noted it is supporting law enforcement with tools, funding, and authority to “keep communities safe.”
“We’re focused on building a fair and sustainable system that protects drivers and keeps costs down. Alberta’s government will continue working with law enforcement and industry to strengthen protections against auto theft and fraud,” the ministry said in the email.
It said it would review the IBC report.
