Atlantic Canada has become a growing target for auto theft, according to the Insurance Bureau of Canada report. In the 2024, auto theft claims in the region rose by 13%, marking the highest increase nationwide. Over the past decade, auto theft claims in the region have surged by 116%.
Rising Costs Compound the Problem
In addition to the growing number of insurance claims, costs associated with auto theft are climbing. Claims costs increased by 11.8% in the 2024 compared to the previous year. Over the last ten years, these costs have skyrocketed by 265%.
Auto thieves are turning their attention to Atlantic Canada, as Ontario and Quebec have made significant strides in combating auto theft
Amanda Dean, Vice-President for Ontario and Atlantic at IBC
Amanda Dean noted the trend is driving up premiums and undermining community safety. Nova Scotia saw the sharpest rise in auto theft claims in Atlantic Canada, with a 26.6% increase in the 2024 compared to the same period in 2023. Other provinces also experienced increases: New Brunswick (14.4%) and Prince Edward Island (10.5%).
Newfoundland and Labrador reported a 26% decline in claims, though claims costs remained steady compared to the first half of 2023.
Atlantic Canada’s total auto theft claims count and costs
| Atlantic Canada Auto Theft Claims Data | Atlantic Total | New Brunswick | Nova Scotia | P.E.I. | N.L. |
| % change in claims count | 12.5% | 14.4% | 26.6% | 10.5% | -26.1% |
| % change in claims count | 116% | 203% | 87% | 200% | 4.8% |
| % change in claims costs | 11.8% | 10.7% | 15% | 20.1% | 4.2% |
| % change in claims costs | 265% | 389% | 223% | 818% | 77% |
IBC analysis based on industry data from GISA systems, Groupement des assureurs automobiles, ICBC (2023-2024 data for ICBC is an estimation based on the average annual auto crime increase from 2020 to 2022 (+5%), applying that to 2022 figures to derive at the estimation. Includes Ontario, Alberta, Atlantic Provinces, and British Columbia auto theft claims. Data for Saskatchewan and Manitoba not available and excluded from this analysis.
Call for Government Action
IBC urges governments to implement the recommendations from the federal National Action Plan on Combatting Auto Theft, released in May 2024.
The plan includes proposals submitted by the insurance industry and emphasizes better security at Atlantic ports to deter stolen vehicle exports and additional resources for law enforcement collaboration.
Atlantic Canada is facing an auto theft crisis that demands immediate action. Without intervention, the problem will escalate. Governments must invest in solutions outlined in the national plan.
Canada’s auto theft crisis is showing no signs of slowing down, according to new data released by IBC. In 2023, the cost of insurance claims for replacing stolen vehicles in Canada skyrocketed to a record-breaking $1.5 bn.
Nationwide auto theft insurance claims
This marks the second year in a row auto theft claims costs have topped $1 bn. To put this into perspective, between 2018 and 2021, auto theft claims costs averaged $556 mn annually.
These numbers indicate that the auto theft crisis persists, disrupting the lives of Canadians and causing them concern and trauma. It places a heavy burden on law enforcement and courtroom personnel who work tirelessly to address these crimes.
Canada’s auto theft crisis is also placing pressure on drivers’ insurance premiums – as auto theft continues to increase, so do the associated costs. Auto theft is not a victimless crime
Liam McGuinty, Vice-President, Strategy, IBC
Between 2018 and 2023, auto theft claims costs have increased significantly across the country:
- Nationally, auto theft claims costs increased by 254%.
- In 2023, auto theft losses amounted to over $1.5 bn, an increase of nearly 20% from 2022 (the year that held the previous record).
- The previous four-year national average, between 2018 and 2021, was $556 mn.
- The crisis is most significant in Ontario, where auto theft claims costs increased by 524% between 2018 and 2023, surpassing $1 bn for the first time in 2023. IBC will be releasing province-specific data on auto theft claims costs in the coming weeks.
New, high-end luxury vehicles are often lucrative targets, due in part to their desirability in illegal international markets. In many cases, stolen vehicles are exported to these markets by domestic and international criminal organizations. The proceeds are then used to finance drug trafficking, arms dealing and international terrorism.
Despite important federal and provincial investments aimed at mitigating the crisis, this new data suggests more action must be taken to make vehicles more difficult to steal, transport and export. To that end, IBC has been calling for immediate action to stop stolen vehicles from being shipped overseas and to prevent vehicles from being stolen in the first place.
Insurers have taken proactive steps to help consumers combat auto theft, but they can’t do it alone. We need a whole-of-society approach
IBC recognizes the efforts undertaken by governments to date to fight auto theft, but more needs to be done, including at the national level. Attention needs to be paid to modernizing Canada’s outdated vehicle safety standards, which were last updated in 2007, and stopping the outflow of stolen vehicles from Canada’s ports.
IBC and its members look forward to the important next steps anticipated in the federal government’s action plan to combat auto theft.
FAQ
Auto thieves are increasingly targeting Atlantic Canada as provinces like Ontario and Quebec implement stronger measures to combat auto theft. In 2024, Atlantic Canada experienced a 13% rise in auto theft claims, the highest increase nationwide.
Over the last ten years, auto theft claims in Atlantic Canada have surged by 116%. Claims costs have also skyrocketed by 265% during the same period.
Nova Scotia reported the highest increase in auto theft claims in 2024, with a 26.6% rise compared to 2023. New Brunswick (14.4%) and Prince Edward Island (10.5%) also saw increases, while Newfoundland and Labrador reported a 26% decline in claims but steady costs.
Rising auto theft claims and costs put upward pressure on insurance premiums. In 2023, auto theft losses in Canada surpassed $1.5 bn, a 20% increase from 2022, further burdening drivers and insurers.
The Insurance Bureau of Canada (IBC) is urging governments to implement the National Action Plan on Combatting Auto Theft, which includes strengthening port security to prevent vehicle exports and enhancing resources for inter-agency law enforcement.
Between 2018 and 2023, auto theft claims costs increased by 254% nationally, reaching over $1.5 bn in 2023. Ontario saw the most significant rise, with claims costs increasing by 524% over the same period.
Auto theft disrupts lives, causes trauma for victims, and strains law enforcement and judicial systems. It also supports organized crime, including drug trafficking and arms dealing, making it a critical issue requiring immediate action.
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QUOTES: Amanda Dean – Vice-President for Ontario and Atlantic at the Insurance Bureau of Canada, Liam McGuinty – Vice-President, Strategy at the Insurance Bureau of Canada
