The Council on Criminal Justice (CCJ) and the National Insurance Crime Bureau (NICB) both reported a notable increase in vehicle theft in 2023 compared to the previous year. For one, CCJ reports carjacking skyrocketed by 93% between 2019 and 2023. Its data shows motor vehicle thefts went up by 29% from 2022 to 2023. This equates to more than 50,000 incidents.
Data from the NICB indicates that almost half a million vehicles were reported stolen in the first six months of 2023. Both reports reveal that some cities saw a huge increase while a few experienced a drop. Vehicle thefts range from nearly 100% to well over 100% in some cities.
NICB looks at the top vehicle thefts by state. Illinois, New York, and Ohio experienced the highest percentage increase in vehicle thefts. California, Texas, and Florida saw the greatest number of vehicle thefts.
Moreover, CNN has a story in which it says vehicle theft insurance claims for Kia and Hyundai models have climbed more than 1000% between the first half of 2020 and the first half of 2023. The Highway Loss Data Institute (HLDI), an organization that tracks insurance statistics, says this is more than seven times higher than for vehicles made by other manufacturers.
It’s not just a problem in the U.S. Canada is also dealing with an astounding increase in motor vehicle thefts. shows the increase of vehicle thefts in Toronto went up by more than 60%.
Rise in Vehicle Thefts Affect Dealerships
The increase in motor vehicle thefts largely impacts auto dealerships. It turns out that the supply chain disruptions continue to be the cause. Bad actors target dealerships because cars go for a lot of money and it’s easy to ship them overseas.
Some claim social media is responsible for the upswing. A Stateline story points to social media as the culprit because people are sharing information about vulnerabilities in specific models. The story also explains why it’s difficult to track vehicle theft data and the cause. Law enforcement agencies have ways of collecting and sharing data related to vehicle crimes including carjackings.
Thieves tend to steal more than one vehicle when targeting dealerships. A dealership in Guelph, Ontario, had more than $260,000 worth of items stolen. The dealership also had to spend $25,000 to replace damaged doors and stolen equipment.
The Ontario Provincial Police have been investigating an outbreak of thefts from auto dealerships. Another dealership had seven vehicles stolen along with the keys for about 300 vehicles. The situation got bad enough that the OPP issued a warning to auto dealerships through several tweets on X.
FOX19 Now reports that in Hamilton, Ohio, thieves took four vehicles. The owner told the news reporter that it would take them time to recover from the theft. This goes to show that vehicle theft often costs more than the value of the stolen or damaged items.
A story in Automotive News, reveals one dealership had 12 vehicles stolen from its lot. Thieves specifically targeted Dodge Challengers and Chargers as well as a Jeep Grand Cherokee and Dodge Durango.
Thieves pulled off the heist by copying the keys or key codes during the day and then returned at night to take the vehicles. The story quotes an insurance representative confirming a noticeable increase in vehicle thefts from auto dealerships.
How Dealerships Can Help Deter Vehicle Thefts
As technology advances, thieves’ tactics have also evolved. Here are the top ways to help deter vehicle-related crimes.
Protect vehicle keys
Digital car keys and key fobs have made it somewhat easier for criminals to steal cars. That’s why it’s crucial to protect key fobs and digital car keys. This requires establishing a key management process that includes storing them in a safe place.
To counter the rising threat of digital key theft, dealerships are tapping into advanced encryption technologies. Digital keys, stored in databases, are transformed into complex, unbreakable codes. This proactive measure helps ensure that hackers are unable to replicate or manipulate the digital keys, bolstering the integrity of the dealership’s inventory.
Additionally, the dealership needs to implement a two-factor authentication system for the physical FOB keys. Access to the FOB storage room should require a biometric scan and a personalized access code. This additional layer of security significantly reduces the risk of internal theft, as only authorized personnel can handle the physical keys.
Keys should be in employees’ hands or locked away. Employees should be trained not to put keys in their pockets where they can be pickpocketed. (See next item.) They should not put them on the counter while they do paperwork. Simply put, the keys should be locked away or used on a test drive. Before allowing the customer to take a test-drive, scan their driver’s license.
The storage room needs to be fortified with reinforced doors and state-of-the-art surveillance cameras. These physical security measures complement the digital safeguards, creating a comprehensive defense against theft.
Train staff on security
Educate dealership staff on the importance of key security and implement strict protocols for key handling. Conduct regular training sessions to reinforce security measures and emphasize the significance of personal responsibility. Encourage a culture of accountability to ensure that every team member understands their role in preventing theft.
Add an extra layer of protection for high-value vehicles
Some vehicles are more susceptible to theft than others. For these, remove the fuse for the fuel pump, starter, or both. Also, consider disconnecting their batteries and inserting inventory-tracking devices into these vehicles.
The dealership may have a fenced area or an indoor storage area. Highly sought-after vehicles should be the ones in storage or behind a fence. In some cases, the thieves may drive around a fence onto the curb. One dealership got smart and added giant rocks on the curbs. As a bonus, it added aesthetic appeal.
These tactics may not completely deter theft, but they add barriers to force the thieves to work longer to get a vehicle started. This extra time could be the time needed for the police to arrive on the lot and make an arrest.
Employ inventory tracking systems
Using advanced inventory tracking systems that leverage technology such as Bluetooth, RFID, or barcoding. Each key should be uniquely identified and tracked throughout its lifecycle, from initial receipt to the moment it is returned. This helps in quickly identifying any missing keys and streamlines the process of tracking their usage.
Install security cameras
Video surveillance is no longer a nice-to-have for auto dealerships. They’re a must-have. The cameras alone can act as a deterrent. They also record everything that happens at the dealership. The footage comes with multiple benefits besides supporting police investigations and insurance claims.
The footage can be used for conducting internal reviews, reviewing customer complaints, solving liability claims, and improving dealership operations. It may not be enough to just post video cameras. Some of the dealerships that were victims of theft had video surveillance. However, they did not have a complete solution, which brings up the next point.
Add monitoring and technology to cameras
The dealerships that experienced thefts had video surveillance. But their technologies were limited. They were basic security cameras with no enhancements, which turned them into a reactive security solution. By the time someone catches the crime on camera, it’s too late.
To benefit from video surveillance, dealerships need to invest in a solution that comes with remote monitoring and technologies such as license plate readers and video analytics. Remote video monitoring and artificial technology like video analytics is the differentiator. These put multiple types of eyes on the dealership.
Reactive video surveillance does not pick up any hints of a crime about to happen. Remote monitoring and video analytics have that ability. Video analytics technology can scan all the cameras in seconds as it searches for suspicious behavior.
When video analytics find a potential problem, it can alert a trained monitoring operator who can respond appropriately to the situation. The monitoring operator may issue a warning to the suspects over an onsite speaker.
The operator is not on the dealership lot. They’re located in a safe place away from the lot. This lets them respond without fear of danger. If the intruders don’t respond to the warning, then the monitoring operator can call the police while keeping an eye on the suspects.
Implementing these strategies to help protect auto dealerships can help reduce the risk of unauthorized access and theft. Dealerships adopting these strategies not only help protect their inventory but also cultivate a reputation for technological innovation and security. Customers who seek the assurance that their prized possessions are safeguarded could be drawn to dealerships that prioritize the integrity and security of their most prized assets.
Proactive Security Protects Dealerships
Dealerships must remain vigilant, understanding that the code of protection must be unbreakable. The showroom gleams with cars, and customers walk away not only with a set of keys but also with the confidence that their valuable assets are shielded by the dealership’s unwavering commitment to key security.
To learn more about dealership security, check out this guide to four auto dealership theft trends. For a list of questions to help you interview potential security partners, refer to them in choose the right video surveillance service. If you have questions, please contact us.
Texas Private Security License Number: B14187
California Alarm Operator License Number: ACO7876
Florida Alarm System Contractor I License Number: EF20001598
Tennessee Alarm Contracting Company License Number: 2294
Virginia Private Security Services Business License Number: 11-19499
Alabama Electronic Security License # 002116
Canada TSBC License: LEL0200704
