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
Serial sexual offender linked to unsolved 1970s homicides of four Calgary girls, women
An investigation into unsolved historical homicides from the 1970s has linked the deaths of two girls and two young women in and around Calgary to a now-deceased serial offender.
Woman with liver failure rejected for a transplant after medical review highlights alcohol use
For nearly three months, Amanda Huska has been in an Ontario hospital, part of it on life support, because of severe liver failure. Her history of alcohol use is getting in the way of her only potential treatment: a liver transplant.
$500K-worth of elvers seized at Toronto airport
Fishery and border service officers seized more than 100 kilograms of unauthorized elvers at the Toronto Pearson International Airport on Wednesday.
Toronto eliminated from PWHL playoffs
Toronto has been eliminated from the PWHL playoffs.
Information commissioner faces $700K funding shortfall, says system is 'overwhelmed'
Canada's information commissioner says her office is facing a $700,000 funding shortfall that could impact its ability to investigate complaints about government transparency and accountability.
B.C. man 'attacked suddenly' by adult grizzly near Alberta boundary: RCMP
A B.C. man is recovering from multiple injuries after he was "attacked suddenly" by an adult grizzly bear near Elkford Thursday afternoon.
Backlash over NFL player Harrison Butker's commencement speech has reached a new level
The NFL is distancing itself from controversial comments by Kansas City Chiefs kicker Harrison Butker during a recent commencement address.
Dabney Coleman, actor who specialized in curmudgeons, dies at 92
Dabney Coleman, the mustachioed character actor who specialized in smarmy villains like the chauvinist boss in '9 to 5' and the nasty TV director in 'Tootsie,' has died. He was 92.
Craig Berube named as next head coach of Toronto Maple Leafs
The Toronto Maple Leafs have named Craig Berube as their new head coach.