Victoria has recorded the steepest rise in car theft claims in the country while other states have seen declines, according to new figures from the Insurance Council of Australia.
Data compiled by Insurance Statistics Australia shows that motor vehicle theft claims in Victoria jumped 59 per cent in the 12 months to June 2025, with incurred costs up 70 per cent. That translated into more than 12,000 claims worth $223 million, the largest annual increase on record.
The spike was driven by metropolitan Melbourne, where theft claims rose 70 per cent to 10,000 cases, costing insurers $183 million.
At a national level, the number of motor theft claims rose 11 per cent to 30,000, with total incurred costs up 20 per cent to $466 million.
Other states bucked the trend. Queensland recorded the biggest fall, with claims down 11 per cent to 6,000 and costs down 10 per cent to $104 million, marking its largest decline in over a decade. Western Australia and South Australia both saw 10 per cent drops, while New South Wales recorded a 3 per cent decline, bringing claims down to 5,800.
Theft claim frequency, measured as the proportion of motor policies affected, fell in all states except Victoria, where metro levels rose from 0.26 per cent to 0.45 per cent. Across all states, motor policy numbers grew slightly by 1.4 per cent in the financial year.
ICA chief executive Andrew Hall said the data showed worrying trends. “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 is a growing concern.
“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.
“It is encouraging to see car crime claims on the decline in majority of states and the reductions in Queensland, which was previously leading the country on the increases, are particularly pleasing.
“Insurers are in ongoing conversation with law enforcement agencies and continue to share data where appropriate.”
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