Keyless Car Theft UK

As an FCA-authorised expert with over 900,000 policies arranged, WeCovr has seen first-hand the devastating impact of vehicle crime. This in-depth guide to keyless car theft in the UK explains the risks, the effect on your motor insurance, and the crucial steps you can take to protect yourself.

UK's Hidden Threat How Keyless Car Theft is Driving Up Premiums & What UK Drivers Can Do to Protect Their Vehicles, Finances, and No Claims Bonus

The convenience of keyless entry has been a welcome innovation for millions of UK drivers. No more fumbling for keys in the rain; a simple touch of the door handle and you're in. Yet, this modern convenience has a dark side. It has opened the door for a new breed of sophisticated, silent, and incredibly swift car crime: the relay attack.

This 'hidden threat' is no longer a niche problem affecting only luxury cars in major cities. It's a nationwide issue, contributing to a surge in vehicle thefts and, consequently, a significant increase in motor insurance premiums for everyone. In this comprehensive guide, we'll demystify keyless car theft, reveal its financial impact, and provide a clear, actionable plan to safeguard your vehicle, your finances, and your hard-earned No Claims Bonus.

What Exactly is Keyless Car Theft and How Does it Work?

Understanding the enemy is the first step in defeating it. Keyless car theft, in its most common form, doesn't involve smashed windows or forced locks. It’s a clean, digital heist.

The primary method is known as a Relay Attack. It works like this:

1. The Scout: One thief stands near your home or office, holding a relay amplifier device. This device is powerful enough to pick up the faint, short-range signal that your key fob is constantly emitting, even from inside your house.
2. The Amplifier: The first device captures your key's signal and 'relays' or transmits it to a second device, held by an accomplice standing next to your car.
3. The Trick: The second device mimics your key fob, tricking your car's onboard computer into thinking the genuine key is right beside it. The doors unlock.
4. The Getaway: Once inside, the thief can usually start the engine with the push of a button, just as you would. They can then drive the car away. The entire process can take as little as 60 seconds and is almost completely silent.

Thieves don't need your key. They just need to be close enough to capture its signal. This is why vehicles are often stolen from driveways overnight, while the keys are sitting on a hallway table or kitchen counter, seemingly safe.

The Alarming Statistics: Vehicle Theft is on the Rise

This isn't just anecdotal. The official data paints a stark picture of a growing problem across the UK.

According to the Office for National Statistics (ONS), police-recorded "theft of a motor vehicle" in England and Wales saw a notable increase in the year ending December 2023. This trend reverses years of decline and is strongly linked to the vulnerabilities of keyless entry systems.

The insurance industry is feeling the pressure. The Association of British Insurers (ABI) regularly reports on claims data. Their figures for early 2024 showed that vehicle theft claims were a significant driver of costs, with insurers paying out millions every single week to customers whose cars have been stolen.

Which cars are most at risk? While premium models like the Range Rover, Lexus, and Mercedes-Benz are prime targets, thieves also focus on high-volume, popular cars. Models like the Ford Fiesta and Ford Focus are frequently stolen, often to be stripped for parts to service the UK's massive repair market.

How Keyless Theft Directly Inflates Your Motor Insurance Premiums

Every driver in the UK, whether they own a keyless car or not, is paying the price for this crime wave. Here’s the direct link between rising thefts and your annual premium.

• Risk-Based Pricing: Motor insurance is fundamentally about risk. Insurers use vast amounts of data to calculate the probability of a claim. When theft claims for a particular model, or in a specific postcode, go up, the perceived risk increases.
• Increased Claims Costs: The ABI notes that the cost of vehicle theft claims is rising sharply. Not only are more cars being stolen, but the average value of those cars is higher. This money has to come from somewhere—and it's factored into the premiums paid by all policyholders.
• A National Problem: Even if you live in a low-crime area, your premium is affected. Insurers pool risk nationally. A surge in thefts in London or Manchester will have a ripple effect on the premiums paid by drivers in Cardiff or Edinburgh.

Think of it as a collective pot of money. Every theft claim is a withdrawal from that pot. To ensure the pot remains full enough to cover future claims, the regular contributions (premiums) from everyone must increase.

First, a Reminder: Understanding Your Motor Insurance Obligations

Before we dive deeper into protection, it's vital to remember your legal duties and the different types of cover available. Navigating the world of motor insurance UK can be complex, but we're here to make it simple.

The Legal Minimum In the United Kingdom, it is a legal requirement under the Road Traffic Act to have at least Third-Party Only motor insurance for any vehicle used on public roads. Driving without it can lead to severe penalties, including a large fine, penalty points on your licence, and even having your vehicle seized.

The Three Levels of Cover

1. Third-Party Only (TPO): This is the most basic level. It covers injury or damage you cause to other people (third parties), their vehicles, or their property. Crucially, it does not cover theft of or damage to your own car.
2. Third-Party, Fire & Theft (TPFT): This includes everything TPO covers, but adds protection if your own car is stolen or damaged by fire. This is the minimum level of cover you should consider if you're concerned about theft.
3. Comprehensive: This is the highest level of protection. It includes everything from TPFT, but also covers accidental damage to your own vehicle, even if the accident was your fault. Often, comprehensive policies can be cheaper than lower levels of cover, as they tend to attract safer drivers, so it's always worth comparing quotes.

Cover for Businesses and Fleets If you use a car or van for work, you need business car insurance. A standard policy won't cover you. For companies with multiple vehicles, fleet insurance is the most efficient and cost-effective solution. It places all vehicles under a single policy, simplifying administration and often securing a better price. As an expert broker, WeCovr specialises in finding the best car insurance provider for private individuals, businesses, and large fleets, ensuring you have the correct, legally compliant cover in place.

The True Cost of a Theft Claim: It's More Than Just a New Car

Having your car stolen is a deeply stressful experience. The financial fallout can be just as painful and long-lasting.

1. Losing Your No-Claims Bonus (NCB)

Your No-Claims Bonus (or No-Claims Discount) is one of the most valuable assets in motoring. It's a significant discount applied to your premium for each consecutive year you go without making a claim.

• How it works: A driver with five years of NCB could be receiving a discount of 60% or more on their premium.
• The impact of a claim: Making a theft claim will, in most cases, slash your NCB. Typically, you will lose two years' worth of your bonus. If you have a small NCB, you could lose it entirely. This means your premium at renewal will skyrocket, not just because of the claim itself, but due to the loss of your discount.
• Protection: You can buy an optional extra called "Protected No-Claims Bonus". This allows you to make one or two claims within a set period without your bonus being affected. It adds to your premium but can be a financial lifesaver.

2. Paying the Policy Excess

The excess is the fixed amount you agree to pay towards any claim you make.

• Compulsory and Voluntary: Your policy will have a compulsory excess set by the insurer. You can also add a voluntary excess to lower your premium. The total excess is the sum of both.
• How it works: If your car is stolen and your total excess is £500, the insurer will deduct this amount from the final settlement figure. So, if your car is valued at £15,000, you will receive £14,500. You don't get this £500 back.

3. Hidden Costs and Inconvenience

• Courtesy Car: A standard courtesy car is often only provided if your vehicle is being repaired at an approved garage. If your car is stolen and written off, you may not be entitled to one unless you have a "Guaranteed Hire Car" add-on. This could leave you without transport for weeks.
• Loss of Valuables: Your motor policy will have a very limited amount of cover for personal belongings stolen from the car—often just a few hundred pounds. Any valuable items (laptops, tools, bags) will likely not be fully covered.
• The Time and Stress: The administrative burden of dealing with the police, the insurance company, and the DVLA is significant. The emotional toll of being a victim of crime should not be underestimated.

Your Action Plan: How to Protect Your Keyless Car

The good news is that you are not powerless. A combination of classic physical security and modern digital defence can dramatically reduce your risk of becoming a victim.

Tier 1: The Essential Physical Deterrents

Thieves are looking for quick, easy targets. Making your car look like hard work is a powerful deterrent.

• Steering Wheel Locks: A high-quality, brightly coloured steering wheel lock (like a Disklok or Stoplock) is the single best visual deterrent. A thief who sees one will often move on to the next, easier target.
• Driveway Security: If you park on a driveway, consider a sturdy, retractable security post or bollard. It makes it physically impossible to drive the car away.
• Wheel Clamps: While more cumbersome, a heavy-duty wheel clamp is another excellent visual deterrent, particularly for vehicles left for longer periods.

Tier 2: The Critical Digital Defences

This is about stopping the relay attack at its source.

• Faraday Pouch/Box: This is non-negotiable for any keyless car owner. A Faraday pouch is a small, inexpensive wallet lined with a special signal-blocking material (a Faraday cage). When you are at home, ALWAYS keep your car keys, including the spare, inside a sealed Faraday pouch.
  • Pro Tip: Test your pouch. Put your key inside, seal it, and walk right up to your car. If the door unlocks, the pouch isn't working. Buy a reputable one.
• Turn Off Your Fob's Signal: Some manufacturers, including Ford, Volkswagen, and BMW, have introduced fobs with motion sensors. If the key is left inactive for a short period (e.g., 40 seconds), it stops transmitting a signal. Check your car's manual or with your dealer to see if your key has this "sleep" function.

Tier 3: Advanced & Insurer-Approved Security

For high-value or high-risk vehicles, these measures may be required by your insurer.

• Vehicle Trackers: These devices can track your car's location if it's stolen, dramatically increasing the chances of recovery. Insurers insist on Thatcham-approved trackers.
  • Category S7: A GPS-based tracker that is activated by the owner after a theft.
  • Category S5: The highest level, featuring Automatic Driver Recognition (ADR). If the vehicle is moved without the authorised driver tag present, an alert is sent to a secure operating centre, who will contact you.
• Aftermarket Immobilisers: A Thatcham-approved immobiliser that prevents the engine from starting without a unique fob or code provides another layer of security that is very difficult for thieves to bypass.

Will Security Upgrades Lower My Motor Insurance UK Premium?

This is a key question for many drivers weighing up the cost of extra security. The answer is yes, but it depends on the measure.

• Trackers & Immobilisers: Installing a Thatcham-approved device, particularly an S5 tracker, will almost certainly result in a discount on your premium. For many high-performance or luxury vehicles, insurers will not offer cover at all without one. The discount can often offset the annual subscription cost of the tracker.
• Physical Security: While a steering lock might not always get you a specific percentage discount, it can make the difference between an insurer agreeing to cover your vehicle or refusing. It demonstrates you are a responsible owner, which is a positive signal to underwriters.
• Secure Parking: Declaring that you park in a locked garage overnight will typically reduce your premium compared to parking on the street. A secured driveway (with a post) can also attract a discount from some insurers.

When getting a quote, it's crucial to declare all security measures you have in place. An expert broker like WeCovr can be invaluable here, as our team knows which insurers offer the best discounts for specific security devices, helping you get the credit you deserve for protecting your vehicle.

The Future of Vehicle Security

Manufacturers are fighting back. The next generation of vehicles is being built with more robust security.

• Ultra-Wideband (UWB) Keys: This new technology is a game-changer. Unlike older radio signals, UWB can accurately measure the distance between the key and the car. It knows if the signal is being relayed from further away, and will not unlock the door, rendering relay attacks useless.
• Biometrics: Some new vehicles are incorporating fingerprint scanners or facial recognition to authorise the driver before the engine will start.

While these technologies will become standard in the future, the millions of vulnerable vehicles currently on UK roads will remain targets for years to come. Protection remains a personal responsibility.

Choosing the Right Insurance in a High-Theft World

In this climate, choosing the best car insurance provider goes beyond finding the cheapest headline price. You need a policy that provides genuine security.

• Check the Theft Excess: Look for a policy with a reasonable excess for theft claims. A very low premium might be hiding a very high excess.
• Review Courtesy Car Cover: Ensure the policy provides a hire car following a theft, not just an accident repair.
• Work with an Expert: The UK motor insurance market is vast and complex. Using an independent, FCA-authorised broker like WeCovr costs you nothing but provides immense value. We compare policies from a wide panel of insurers, from major brands to specialist providers. Our team can help you find a policy that recognises your security upgrades and provides robust cover for your specific needs, whether it's for a private car, a commercial van, or an entire business fleet. We also offer our motor and life insurance customers exclusive discounts on other policies, helping you save even more.

Your car is more than just a mode of transport; it's a valuable asset and a key to your freedom. Protecting it with the right physical security and the right motor policy is one of the smartest financial decisions you can make.

Ready to secure the right protection?

Don't let vehicle crime drive up your costs. Take control by securing your vehicle and your insurance. Get a fast, free, no-obligation quote from WeCovr today. Our UK-based experts will compare leading insurers to find you the right car, van, or fleet insurance at a competitive price. Protect your vehicle, your finances, and your peace of mind.