Keyless Car Theft Insurance

As an FCA-authorised expert with over 900,000 policies arranged, WeCovr provides this essential guide to keyless car theft, helping you secure the right UK motor insurance. The rise in sophisticated vehicle crime is a major concern for drivers, but understanding the risks is the first step toward protection.

UK Keyless Car Theft: How to Protect Your Vehicle and Avoid Skyrocketing Insurance Premiums in 2025

The convenience of keyless entry has, unfortunately, come with a dark side: a dramatic surge in high-tech vehicle theft. For UK drivers, this isn't just a security headache; it's a direct threat to your wallet, causing motor insurance premiums to climb.

Criminal gangs now use sophisticated electronic gadgets to steal cars, often in under a minute, without ever needing the original key. This method, known as a "relay attack," has become the leading cause of vehicle theft across the country. As a result, insurers are paying out record sums, and those costs are inevitably passed on to policyholders.

This guide will explain everything you need to know about keyless car theft, how it affects your insurance, and, most importantly, the practical steps you can take to protect your vehicle and keep your premiums manageable.

What is Keyless Car Theft and How Does It Work?

Keyless car theft, often called a "relay attack," is a method used by thieves to trick your car's security system into thinking your key fob is nearby. It requires two criminals working together with two devices: a relay amplifier and a relay transmitter.

Here’s a simple breakdown of the process:

1. The First Thief: One criminal stands near your house holding the relay amplifier. This device is powerful enough to pick up the signal from your car key, even if it's inside on a kitchen counter or hallway table.
2. The Signal Boost: The amplifier boosts your key's signal and transmits it to the second device.
3. The Second Thief: The second criminal stands next to your car holding the relay transmitter. This device receives the boosted signal and effectively "pretends" to be your key fob.
4. The Unlocking: Your car's computer is fooled. It detects what it believes is a valid key signal right next to the door, so it unlocks and allows the ignition to be started.

The entire process can be completed in less than 60 seconds, silently and without any forced entry. This is why so many stolen cars simply vanish from driveways overnight.

The Alarming Scale of UK Vehicle Theft in 2025

The statistics paint a stark picture. Vehicle theft is no longer a crime of opportunity involving a smashed window; it's a highly organised, technology-driven enterprise.

According to projections based on recent Home Office and Association of British Insurers (ABI) data, the situation in 2025 continues to be challenging:

• Record Payouts: The ABI reported that insurers paid out over £1.5 million per day for stolen vehicles and parts in 2024, a figure expected to rise in 2025.
• Frequency of Theft: Data from the Office for National Statistics (ONS) suggests that a vehicle is stolen in the UK approximately every four minutes. A significant majority of these are linked to keyless methods.
• Organised Crime: Police forces across the UK have highlighted that stolen high-value vehicles are often shipped abroad or dismantled for parts in "chop shops" within hours of being taken.

This epidemic of theft directly fuels the rising cost of motor insurance UK policies.

How Keyless Theft Directly Impacts Your Car Insurance Premium

Insurers base their premiums on risk. The higher the likelihood of a claim, the more you pay. The explosion in keyless theft has fundamentally increased the risk profile for many vehicles and postcodes.

Here’s how it breaks down:

• Vehicle Model: Certain cars are targeted more than others due to their popularity, resale value, or vulnerable keyless systems. If you own a model that appears frequently on theft lists (like a Range Rover or Ford Fiesta), your premium will be significantly higher.
• Your Postcode: Insurers analyse theft data by postcode. If you live in an area with a high rate of vehicle crime, your premium will increase to reflect that elevated risk, regardless of how secure your own property is.
• Claims Volume: Every successful theft results in a large insurance claim—often for the total value of the car. To cover these multimillion-pound payouts, insurers must increase the base price of policies for everyone.
• Repair Costs: Even unsuccessful theft attempts can lead to expensive claims for damaged locks, steering columns, or electronic systems, further contributing to rising costs.

Essentially, your premium is a reflection of the collective risk. The more cars are stolen, the more every driver pays.

Understanding Your Motor Insurance Policy: The Legal Essentials

In the UK, it is a legal requirement to have at least third-party motor insurance for any vehicle used on public roads. Understanding the different levels of cover is crucial to ensure you are properly protected.

As an expert broker, WeCovr helps thousands of drivers navigate these options to find the perfect balance of cover and cost.

Business and Fleet Insurance Obligations

For businesses, the rules are stricter. If you use a vehicle for work purposes (beyond commuting), you need business car insurance. For companies operating multiple vehicles, fleet insurance is the most efficient and cost-effective solution. These policies are designed to cover the specific risks associated with commercial use, including liability for employees and goods in transit.

Key Insurance Terms Explained

• No-Claims Bonus (NCB) or No-Claims Discount (NCD): A discount on your premium for each year you go without making a claim. It's one of the most significant ways to reduce your insurance costs.
• Excess: The amount of money you agree to pay towards any claim. A higher voluntary excess can lower your premium, but you must be able to afford it if you need to claim.
• Optional Extras: These can be added to your policy for enhanced protection, such as Breakdown Cover, Legal Expenses Cover (to recover uninsured losses), and a Courtesy Car guarantee.

UK's Most Stolen Cars in 2025 (and Why They're Targeted)

Vehicle security experts at Thatcham Research and data from the DVLA consistently show that certain models are disproportionately targeted by thieves.

Here are the models projected to be at the highest risk in 2025:

If your car is on this list, it is imperative that you take extra security precautions.

How to Protect Your Vehicle: Your 7-Step Security Checklist

The good news is that you are not powerless. By layering different types of security, you can make your vehicle a much harder target for thieves. A determined criminal might get past one or two, but they will likely move on if faced with multiple obstacles.

1. Block the Signal: The Faraday Pouch

This is the single most important defence against relay attacks. A Faraday pouch (or box) is a signal-blocking wallet lined with a special metallic material.

• How it works: It creates a "cage" that stops the radio signal from your key fob from escaping. Thieves standing outside your home cannot detect or amplify it.
• How to use it: As soon as you are home, place your car keys (and your spare key) inside the pouch and seal it.
• Buying Guide: Not all pouches are equal. Test yours by placing the key inside, sealing it, and walking up to your car. If the car unlocks, the pouch is not working. Buy from reputable brands.

2. Go Old-School: Visible Physical Deterrents

Never underestimate the power of a visible deterrent. Thieves want a quick, easy target. A physical lock signals that your car will take more time and effort to steal.

• Steering Wheel Lock: A high-quality, brightly coloured lock (like a Disklok) is a powerful visual deterrent. It's a clear message to thieves to move on to an easier target.
• Wheel Clamps & Driveway Bollards: For high-value vehicles or those parked on a driveway for long periods, these are excellent physical barriers.

3. Install a Thatcham-Approved Tracker

A vehicle tracker won't stop your car from being stolen, but it gives you the best possible chance of getting it back. Insurers often insist on a tracker for high-value or high-risk vehicles.

• What is it? A small GPS device hidden within your vehicle.
• How it works: If the vehicle is moved without the authorised key or tag present, the device sends an alert to a 24/7 monitoring centre. They will then liaise with the police to track and recover your vehicle.
• Thatcham Categories: Look for Category S5 or Category S7 approved devices. S5 is the highest standard, featuring Automatic Driver Recognition (ADR) tags. If the car is started without the tag present, an alert is triggered.

4. Deactivate Your Key Fob's Signal

Many modern car keys now have a built-in sleep mode. If the key is left stationary for a few minutes, it stops transmitting its signal, rendering a relay attack useless. Check your car's manual or contact your dealership to see if your fob has this feature and how to activate it.

5. Think About Where You Park

• At Home: If you have a garage, use it. Thieves prefer to operate unseen on a driveway or street.
• In Public: Park in well-lit, busy car parks, preferably those with a "Park Mark" award for safety and security. Try to park where your car is covered by CCTV.

6. Consider an Aftermarket Immobiliser

While all modern cars have factory-fitted immobilisers, sophisticated thieves can often bypass them. An aftermarket immobiliser adds another layer of security that they won't be expecting. Devices like the "Ghost Immobiliser" require a unique PIN code to be entered using buttons on your steering wheel or dashboard before the car can be started.

7. Keep Software Updated

Vehicle manufacturers are constantly working to improve security. Treat your car like your smartphone—if the manufacturer releases a security software update, get it installed at your dealership.

How Security Upgrades Can Lower Your Car Insurance Costs

Insurers reward proactive vehicle owners. By investing in approved security measures, you are actively reducing your risk profile, which can lead to significant discounts on your car insurance premium.

Important: Always inform your insurer of any security devices you have fitted. When getting a quote, make sure to declare them to ensure you receive the correct discount. An expert broker like WeCovr can help you find insurers who offer the best discounts for these measures.

What to Do if Your Keyless Car is Stolen: A Step-by-Step Guide

Discovering your car has been stolen is a deeply unpleasant experience. Acting quickly and calmly is key.

1. Report to the Police Immediately: Call 101 (or 999 if the crime is in progress). You will need to provide your car's registration number, make, model, and colour. You will be given a Crime Reference Number (CRN). This is essential for your insurance claim.
2. Contact Your Insurer: Call your insurance provider's claims line as soon as possible. Have your policy number and the CRN ready. They will guide you through the next steps, which will involve filling out a claim form.
3. Inform the DVLA: You must tell the DVLA that your vehicle has been stolen. You can do this online or by post. This absolves you of any responsibility for future speeding or parking fines accrued by the thieves.
4. Contact Your Finance Company: If you have outstanding finance on the car (e.g., a PCP or HP agreement), you must inform the finance company straight away.

Your insurer will conduct an investigation. If the car is not recovered (usually within 28 days), they will process your claim and offer you a settlement based on the car's market value at the time of the theft, minus your policy excess.

Find the Right Cover in a Challenging Market with WeCovr

With premiums on the rise and the threat of theft ever-present, finding the right motor insurance UK provider is more important than ever. This is where an expert, independent broker makes all the difference.

WeCovr is an FCA-authorised brokerage with a deep understanding of the UK motor market. We help private individuals, businesses, and fleet managers compare policies from a wide panel of insurers to find cover that is both comprehensive and competitively priced.

• Expertise in High-Risk Vehicles: If you own a vehicle that is frequently targeted by thieves, we can connect you with specialist insurers who understand the risks and reward proactive security measures.
• Fleet and Business Solutions: We provide tailored fleet insurance and business vehicle policies that protect your commercial assets and ensure you meet your legal obligations.
• Customer-Focused Service: WeCovr enjoys high satisfaction ratings because we put our clients first. Our UK-based team is here to provide guidance and support, from getting a quote to making a claim.
• Multi-Policy Discounts: When you trust WeCovr with your motor or life insurance, we can often provide exclusive discounts on other types of cover you may need, delivering even greater value.

Don't let the fear of theft and rising premiums stop you from getting the right protection. Let us do the hard work for you.

Take control of your motor insurance costs today. Get a fast, free, no-obligation quote from WeCovr and let our experts find you the best protection at the best price.