A harmonized Canada-US standard for vehicle theft deterrent systems has reached a major milestone – and its rollout may be far quicker than the industry saw in the past.
Bryan Gast, national vice president of investigative services at Équité Association, says the newly proposed standard has a head start compared to its predecessor, which took nearly a decade to move from draft to mandate.
The original standard was drafted in 1998 and mandated in 2007. Gast told Insurance Business that the adoption could be faster this time around.
Unlike the earlier process, which involved creating a framework from the ground up, the new initiative builds on existing infrastructure. “It isn’t a net new process,” Gast said. “There’s already one in place. So it’s just a matter of updating the standard and the requirements and the language of it.”
That drafting work is already complete. According to Gast, the ULC Technical Committee has finalized the proposed language and published a working document outlining the next-generation theft deterrent standard.
The clearest beneficiaries of the updated standard, Gast emphasized, are vehicle owners and insurance brokers working to protect their clients. A consistent benchmark across all manufacturers would give consumers greater confidence in the baseline security of any new vehicle – regardless of the automaker.
“I think that’s who benefits the most… especially the consumers,” Gast said. “Some manufacturers are taking significant steps to protect their vehicles, but not all. So that gives the consumer the comfort to know that all manufacturers will be held to the same standard.”
The standard also addresses aftermarket solutions, which have become increasingly important for drivers seeking extra layers of protection amid a surge in auto thefts. By including both original and aftermarket equipment, the framework is designed to create broad accountability and protection.
While Équité Association focuses on operational enforcement and data, not insurance pricing, Gast acknowledged that improved deterrence could eventually translate into more favourable insurance conditions.
“IBC still does the policy and the premiums… but you’re right,” he told Insurance Business. “Theft of a vehicle is one of those contributing factors, so reducing theft would be a factor.”
One of the most significant advantages of the harmonized Canada-US standard is its ability to address vulnerabilities that didn’t exist – or weren’t fully understood – when the original framework was developed. Gast noted that the 1998-drafted and 2007-mandated standard is no longer equipped to counter the techniques used in today’s high-tech auto theft operations.
Back then, methods like relay attacks or CAN bus system exploits were either nonexistent or in their infancy. “The current standard doesn’t address any of those because they didn’t exist back then,” Gast said.
Now, those very tactics are central to organized vehicle theft in Canada and the US. By updating the standard to reflect today’s risks, the industry can take a more unified, technology-forward approach to prevention.
“What this does is it ensures that all manufacturers on both sides of the border have equal playing field, equal requirements, which provides added comfort to the consumer,” Gast said.
The standard also extends beyond factory-installed solutions. It includes specifications not only for aftermarket theft deterrent products but also for how those devices are installed – a critical piece in ensuring consistency and reliability across both markets.
This dual focus on built-in and aftermarket systems is intended to give consumers and insurers alike a clearer, more enforceable framework for theft prevention – especially as cross-border vehicle crime becomes increasingly coordinated.
Early data suggests the tide may finally be turning in Canada’s battle against auto theft. According to Équité Association, theft of private passenger vehicles fell by 19.1 percent in the first half of 2025 compared to the same period in 2024.
Ontario led the improvement with a 25.9 percent drop, as thefts declined from 12,949 to 9,600. Quebec followed with a 22.2 percent decrease, while Alberta recorded a 12.5 percent reduction, contributing to a 9.4 percent decline across Western Canada. Atlantic Canada also saw progress, with thefts down 9 percent year-over-year.
Nationally, 23,094 private passenger vehicles were reported stolen in the first six months of 2025 – down from 28,549 in the same period the year prior.
“Canada is a safer place today than it was at the height of the auto theft crisis,” said Terri O’Brien, president and CEO of Équité Association.
However, the financial burden of theft remains high. Despite the positive trend, the Insurance Bureau of Canada (IBC) says it’s too early for consumers to expect a relief in premiums. Ongoing supply chain issues, repair costs, and persistent regional hotspots continue to keep the pressure on insurers.
“It’s encouraging to see some small steps in the right direction,” said Hanna Beydoun, director of auto policy at IBC. “But the problem remained significantly above historical levels, and it was far from the only factor that contributed to the cost that drivers paid for auto insurance.”
