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Proactive measures to help prevent auto theft

Auto theft has become a growing concern in Canada, with recent reports indicating a significant increase in vehicle theft rates across the country. This surge in auto theft not only poses a threat to vehicle owners but also has a profound impact on dealerships.
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By Trisha Sirju , 

Vice President, Senior Risk Consultant, Marsh Advisory

05/17/2024 · 2-minute read

Auto theft has become a growing concern in Canada, with recent reports indicating a significant increase in vehicle theft rates across the country. This surge in auto theft not only poses a threat to vehicle owners but also has a profound impact on dealerships.

In this article, we will explore the implications of the auto theft crisis on dealerships and discuss potential measures to mitigate the associated risks.

Dealerships, as key players in the automotive industry, are directly affected by the rise in auto theft. The impact can be felt in various ways, including financial losses, increased insurance premiums, and damage to reputation. When vehicles are stolen from dealership lots or during test drives, it results in the loss of valuable inventory and creates a sense of insecurity among potential customers. To mitigate the risks associated with auto theft, dealerships can take several proactive measures. Here are some strategies that can be implemented:

  • Enhanced security systems: Dealerships should invest in robust security systems, including surveillance cameras, alarm systems, and security fencing. These measures act as deterrents and help in identifying and apprehending potential thieves.
  • Vehicle tracking technology: Installing GPS tracking devices in vehicles can aid in their recovery in the event of theft. This technology allows dealerships and law enforcement agencies to track stolen vehicles and increases the chances of successful recovery.
  • Staff training and awareness: Dealership staff should be trained to identify suspicious activities and report them promptly. Educating employees about the importance of security measures and implementing protocols can help prevent theft incidents.
  • Collaboration with law enforcement: Establishing strong partnerships with local law enforcement agencies can facilitate timely response and recovery efforts. Regular communication and sharing of information can aid in combating auto theft effectively.
  • Customer education: Dealerships can play a crucial role in educating customers about the importance of vehicle security. Providing information on anti-theft devices, insurance options, and safe parking practices can help raise awareness and reduce the risk of theft.
  • Test drive procedures: Establish strict protocols for test drives, such as verifying customer identification, accompanying customers during the test drives, and retaining a copy of their driver's license.
  • Controlled access: Restrict access to dealership lots and ensure that only authorized personnel have keys or access codes. Implement visitor sign-in procedures to monitor who enters the premises.
  • Inventory management: Maintain accurate records of vehicle inventory, including serial numbers, VINs, and key control. Conduct regular inventory audits to identify any discrepancies or missing vehicles promptly.

Auto theft prevention requires a proactive approach. By implementing targeted risk mitigation techniques, dealerships can protect their valuable inventory and maintain a secure environment.

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