What if your car/motorcycle is stolen? Which models are most stolen?

Car theft rates are not high in Hong Kong compared to many other cities, but that doesn’t mean you won’t still feel very frustrated if your private car or motorcycle is stolen. How many cars are stolen in Hong Kong every year? What should you do if your car is stolen? If you cannot find your car in the end, will the insurer compensate you for your loss? Are the personal belongings in your car covered by the insurance too? The car insurance experts at Kwiksure will answer the above questions for you today.

Vehicle theft rose by 40% compared with the same period last year

According to the Hong Kong Police, there have been 546 cases of car theft during the first nine months of 2022 - an increase of 154 cases (39.3%) compared to 392 cases in the same period last year. Over the past ten years, there have been 400-600 cases per year on average.

Source: The Hong Kong Police

Which models are most often stolen?

In terms of car models and brands, hybrid cars and Japanese seven-passenger cars are usually at higher risk. Criminals steal cars for the parts, which are later resold for profit, or they put fake license plates on them for other criminal purposes. The catalytic converter connected to the exhaust pipe on hybrid cars contains precious metals, so it is sought after in the second-hand market. Similarly, Japanese 7-passenger cars can be used by criminals for activities like site inspections and transporting stolen property since they are common and low-profile.

Four ways to prevent private vehicle theft

1. Park your car in a parking lot with security

Car thieves often go to quiet streets or low-security parking lots in the middle of the night to look for targets. It usually only takes a few minutes to pry open the door and the ignition switch to steal the car, after which the thief will drive the car to a prepared location or warehouse to have it taken apart and the parts removed. Thus, to reduce the risk of theft, the first thing is to avoid parking your vehicle overnight on a very quiet street. Instead, it is best to park it in a parking lot with security and CCTV.

2. Install an auto-upload car cam

You can also install a reliable anti-theft system to your vehicle, especially video cameras that save files to the cloud.

3. Lock the doors before leaving your car

In order to make the most of the available space, some parking lot operators will ask the driver for the car key so that they can move the car. Some thieves will pretend to be the vehicle owner, cheat the parking lot staff for the car key, and then drive the car away. Likewise, they may approach a car with its key in the door or a car with doors unlocked. So, it is best to park in a high-security parking lot or garage and ensure that the car is locked when you leave your car so that criminals will have no chance at it.

4. Avoid leaving valuables behind

It's common knowledge that not placing your belongings in plain sight can reduce the risk of your vehicle becoming a target for thieves.

Four anti-theft measures for motorcycles

1. Lock the wheel

Locking the wheel can increase the time required for the thief to steal your vehicle because even if the thief succeeds in breaking the ignition switch, he has to unlock the wheel to push the motorcycle away. Thieves always look for easy targets, and a wheel lock will add an extra layer of protection to your motorcycle.

2. Cover your vehicle

A motorcycle cover prevents thieves from knowing the type and model of your motorcycle at a glance, so that they can't tell whether your motorcycle is expensive. Moreover, a cover protects your vehicle from sunlight and rain. But do not cover your vehicle when there is a typhoon, otherwise, the cover can work like a parachute and make your motorcycle fall over!

3. Use motorcycle cover locks

It is recommended that you use vehicle cover locks at both the front and rear of your motorcycle, because even motorcycle covers can be the target of thieves.

5. Use anti-theft items

Truly determined criminals may simply lift the motorcycle by themselves to the connecting vehicle and transport it away. In that scenario, all three anti-theft measures mentioned above will fail. In view of this, we recommend that you use disc brake locks to make it even more difficult for thieves to push away your motorcycle.

Some disc brake locks are further equipped with an alarm device. If the lock senses vibrations, the alarm will keep beeping. As for the GPS anti-theft systems, they can help you determine the whereabouts of your motorcycle if it is stolen.

Tip: When buying a used car, verify the source of the car before taking delivery, so as to avoid buying a stolen car!

What type of car insurance should I buy to protect against car theft?

Generally speaking, comprehensive car insurance already covers losses caused by vehicle theft. You may also consider purchasing fire insurance and theft insurance on top of third-party motor insurance. Be sure to pay attention to the amount of the deductible in case of car theft.

What are the insurance claims and compensation procedures after a car is stolen?

Once a vehicle is confirmed stolen and cannot be recovered, the insurer will appoint an assessor to determine the value of the vehicle, then deduct the applicable deductibles (including but not limited to the theft deductible) to arrive at the final amount of compensation. The entire process typically takes 4-6 weeks.

Will there be compensation for other items lost in the vehicle theft?

All personal belongings and equipment that are not original in the stolen vehicle will not be covered, unless they were specified and approved by the insurer at the time of application for coverage (such as premium stereos).

How to calculate NCD for a stolen vehicle

In Hong Kong, the No Claim Discount (NCD) is attached to people and not vehicles, so even if a car is stolen and cannot be found, the owner can still transfer the NCD of the old car to a new car. If the owner secured comprehensive motor insurance and claims compensation for the stolen vehicle, the NCD will be deducted by 30% (e.g. from 50% NCD to 20% NCD). On the other hand, if you secured a third-party motor policy and your vehicle is stolen, the NCD can be fully transferred to any other vehicle under your name because there would be no claims.

Who owns the stolen car if it is later recovered?

After an insurer has paid compensation for a stolen vehicle, if the original owner subsequently recovers the vehicle (for example, the police returns the car to the owner after the case is resolved), he must immediately notify the insurer since it is already stipulated in the policy document that the property insured now belongs to the insurer.