Insurance companies issue surcharge for 'high theft' vehicles
It's an epidemic across the country and it's costing insurance companies over a billion dollars a year with the bulk of that, several hundred million, right here in Ontario.
Vehicle thefts continue to explode and some insurance companies are looking at more direct ways to recoup their losses.
- Sign up now for daily CTV News Ottawa newsletters
- The information you need to know, sent directly to you: Download the CTV News App
According to Équité Association, Honda CRVs are at the top of the list of the most stolen vehicles in Ontario, followed by the Lexus RX series, Dodge Rams, Toyota Highlanders and Land Rover Range Rovers. An average of five vehicles are stolen in the nation's capital every day.
One Ottawa resident was shocked when a letter arrived from his insurance provider ahead of his policy renewing.
"I said, well, I really don't feel like paying this extra $400 a year or purchasing this tracker because of privacy concerns," said Austin Lonsdale.
His provider, Desjardins Insurance, said because his vehicle was a 2021 Honda CRV, it was identified as being at a high risk of theft and he had to pay a $400 annual surcharge or install a tracking system called Tag.
"Well, it does have privacy issues to me. I mean, I've been thinking about it and I mean, you know what? What would these people be doing? Who's going to be tracking the information or what are they going to be using it for? So there are privacy concerns there for sure," he said.
The letter said to call the insurance provider with the tracking system information.
In a statement to CTV News, Desjardins Insurance said in part, "TAG is a system for tracking and retrieving stolen vehicles and is not used to analyze driving habits and behaviours. Desjardins Insurance only receives information about the location of the vehicle after a theft is reported and when the police have retrieved the vehicle. Desjardins Insurance no longer offers to pay for a tracking system."
The Insurance Bureau of Canada says auto theft related claims in Ontario have increased 329 per cent between 2018 and 2022.
"That is a lot of money that insurers didn't account for in terms of calculating premiums because claims cost drive premiums. So as claims costs increase, insurers have to take a look at what they're charging for premiums, claims costs, put pressure on premiums," said Amanda Dean, the vice president for the Ontario and Atlantic Regions of the Insurance Bureau of Canada.
Lonsdale said the experience of finding out his vehicle was on the most likely to be stolen list has him reconsidering leasing the CRV again,
"I'm really leaning on not getting another Honda CRV. It's too bad because this is my second one and I was planning on a third, but now I'm starting to think of maybe going towards another vehicle that's not on the high theft list."
CTVNews.ca Top Stories
Spectacular aurora light show to be seen across Canada Friday night
A rare and severe solar storm is expected to bring spectacular displays of the northern lights, also known as aurora borealis, across much of Canada and parts of the United States on Friday night.
Town of Fort Nelson, B.C., ordered to evacuate due to wildfire
The entire town of Fort Nelson, B.C., as well as the nearby Fort Nelson First Nation, has been ordered to evacuate due to an out-of-control wildfire.
Bouchard lifts Edmonton Oilers to 4-3 overtime win over Canucks in Game 2
Evan Bouchard scored 5:38 into overtime and the Edmonton Oilers bounced back for a 4-3 win over the Vancouver Canucks in the second round of the Stanley Cup playoffs on Friday.
McGill University seeks emergency injunction to dismantle pro-Palestinian encampment
McGill University has filed a request for an injunction to have the pro-Palestinian encampment removed from its campus.
Which Canadian cities have the highest and lowest grocery prices?
Where you live plays a big factor in what you pay at the grocery store. And while it's no secret the same item may have a different price depending on the store, city or province, we wanted to see just how big the differences are, and why.
Swarm of 20,000 bees gather around woman’s car west of Toronto
A swarm of roughly 20,000 bees gathered around a woman’s car in the parking lot of Burlington Centre.
Video shows naked raccoon catching B.C. family by surprise
When Marvin Henschel spotted a strange and hairless creature wandering through a front lawn in B.C.'s Lower Mainland, he could barely believe his eyes.
Barron Trump declines to serve as an RNC delegate
Former U.S. President Donald Trump's youngest son, Barron Trump, has declined to serve as a delegate at this summer’s Republican National Convention, according to a senior Trump campaign adviser and a statement from Melania Trump's office.
Out-of-control wildfire prompts evacuation alert for Fort McMurray, Saprae Creek Estates Friday night
An evacuation alert was issued for two Wood Buffalo communities Friday night, as crews battled an out-of-control wildfire near Fort McMurray.