Car Theft Insurance Claims up Nearly 60 Percent in Victoria: Council

Victoria’s motor vehicle theft rates experienced the largest annual increase on record with claims up 59 percent and costs up 70 percent.

A detail of the Victoria police badge on a police officer in Melbourne, Australia, on March 24, 2016. Scott Barbour/Getty Images

Insurance premiums in Victoria are on the rise as the state faces an ongoing wave of crime and motor vehicle theft.

A spokesperson from the Insurance Council of Australia (ICA) told The Epoch Times that claims had more than doubled, and payouts had risen in Australia’s second most populous state.

Higher payouts typically translate into higher premiums as well.

“In the 2025 financial year, Victoria’s motor vehicle theft rates experienced the largest annual increase on record with claims up 59 percent and costs up 70 percent—with more than 12,000 claims lodged totalling $223 million [US$157.66 million],” the spokesperson said.

Further, the ICA warned the price of car theft would ultimately be passed on to everyone.

“Motor theft claims have been climbing significantly over the last decade, and while they only make up a small part of overall motor claims, this rise—particularly in metro Victoria—is a growing concern,” the ICA said.

“Everyone pays for car theft, through increased costs of policing, courts and ultimately insurance. We cannot accept this level of car crime as normal in Australia.”

At a broader level, the ICA noted that motor vehicle premiums had also risen in recent years due to to higher vehicle prices, more expensive parts, labour shortages, and increased repair costs.

“Individual motor premiums can also vary due to a range of factors including the make of the vehicle and history of the driver,” the ICA said.

‘You Are Paying For it’, Opposition Says

Opposition Leader Jess Wilson said 32,000 cars were stolen in Victorian last year—the highest in 20 years.

“And you’re paying for it. We all are through higher insurance premiums,” Wilson said in a Facebook post on April 7.

“Claims are up by around 60 percent and insurance premiums are soaring. Families are paying hundreds more, simply because crime is out of control.”

She pointed out that families were already stretched by higher energy prices and this added to the financial pressure.

“At a time you are already paying more for energy, groceries and fuel, this is just another hit to the family budget,” Wilson said.

Acting Premier Ben Carroll acknowledged that rising insurance premiums reflect the wider impact of crime.

“That is what you have seen in relation to insurance prices. There is more than one victim in any crime, there are families and there are communities,” he told reporters at a press conference.