Victoria remains Australia’s hotspot for vehicle theft, recording a sharp rise in insurance claims and costs while every other major state reported declines, according to new figures released by the Insurance Council of Australia (ICA).
Analysis based on Insurance Statistics Australia data shows Victoria recorded a 25 per cent increase in motor vehicle theft claims between 2024 and 2025, alongside a 37 per cent rise in incurred costs.
More than 12,500 claims were lodged in Victoria during 2025, costing insurers $243 million. The figure exceeds the combined total cost of motor theft claims across Queensland, New South Wales, South Australia and Western Australia.
The increase was concentrated in metropolitan Melbourne and surrounding urban areas, where more than 10,400 claims were recorded. Those claims amounted to $205 million, representing a 30 per cent rise in volume and a 42 per cent increase in costs compared with the previous year.
At the national level, motor vehicle theft claims rose 2.5 per cent to 29,000 claims in 2025, with total incurred costs reaching $485 million.
The Victorian figures contrasted sharply with trends elsewhere. Western Australia recorded a 15 per cent reduction in motor theft claims, South Australia fell 14 per cent and Queensland declined 12 per cent, marking the state’s largest percentage decrease on record.
New South Wales remained relatively stable, with claim volumes falling 1.6 per cent after rising 3.7 per cent the previous year.
Insurance Council of Australia chief executive Andrew Hall said Victoria’s numbers continued to stand apart from the rest of the country.
“A car is stolen or broken into every 42 minutes in Victoria. This level of crime is not acceptable.”
Hall said the gap between Victoria and other states was continuing to widen.
“Each year, Victoria’s numbers stand apart from the rest of the country, and that gap is widening.”
The analysis found that, excluding Victoria, Australia would have recorded a 10 per cent reduction in motor theft claims and an eight per cent reduction in costs during 2025.
The frequency of theft claims, measured as a percentage of total motor vehicle policies, fell across every state analysed except Victoria. In metropolitan Victoria, theft claim frequency rose 31 per cent, increasing from 0.35 per cent to 0.46 per cent.
The data comes despite growth in the number of insured vehicles nationwide, with comprehensive motor vehicle policies increasing by 2.2 per cent across the states analysed during 2025.
Hall said the persistence of vehicle crime in Victoria remained a concern for insurers and motorists alike.
“While every other State is effectively reducing car theft, in Victoria the volume of claims and the costs involved remain at unacceptable levels and that sustained pattern is what’s most concerning.”
The figures add to ongoing concerns about car theft and vehicle-related crime in Victoria, where insurers, law enforcement agencies and policymakers have been examining measures aimed at reducing theft rates and the financial burden on vehicle owners.
Support independent community journalism. Support The Indian Sun.
Follow The Indian Sun on X | Instagram | Facebook
Support Independent Community Journalism
Dear Reader,The Indian Sun exists for one reason: to tell stories that might otherwise go unheard.
We report on local councils, state politics, small businesses and cultural festivals. We focus on the Indian diaspora and the wider multicultural community with care, balance and accountability. We publish in print and online, send regular newsletters and produce video content. We also run media training programs to help community organisations share their own stories.
We operate independently.
Community journalism does not have the backing of large media corporations. Advertising revenue fluctuates. Platform algorithms change. Costs continue to rise. Yet the need for credible, grounded reporting in a multicultural Australia has never been greater.
When you support The Indian Sun, you support:
• Independent reporting on issues affecting migrant communities
• Coverage of local and state decisions that shape daily life
• A platform for small businesses and community groups
• Media training that builds skills within the community
• Journalism accountable to readers
We cannot cover everything, but we work to cover what matters.
If you value thoughtful reporting that reflects Australia’s diversity, we invite you to contribute. Every donation helps us maintain the quality and consistency of our work.
Please consider making a contribution today.
Thank you for your support.
The Indian Sun Team
