Insurers have committed to funding the National Motor Vehicle Theft Reduction Council for another three years.

The council, set up in 1999 by the insurance industry and state and territory governments to fight vehicle crime, will also team up with IAG to investigate the growing cyber threat as vehicle technology transforms.

Partner insurers are giving more than $900,000 to the council this financial year, matching funding from the participating states and territories. Queensland is the only exception, having withdrawn from the scheme in 2012.

In the last financial year the council received about $1.84 million in grants from the insurance industry and governments.

The industry has given more than $20 million in grants to support the council’s work since 1999.

“There is absolutely no doubt that if it wasn’t for insurance support, there wouldn’t be a vehicle theft reduction program nationally,” CEO Geoff Hughes told insuranceNEWS.com.au.

“They are rock-solid all the way through. We very much welcome their ongoing support and look forward to working with them over the next three years.”

The Insurance Council of Australia says the initiative is one of the best examples of the industry working with governments to address a community issue.

“Over the lifetime of the [initiative], the rate of vehicle theft has been reduced very significantly, through programs targeting vehicle vulnerabilities… and policy changes in each state to reduce opportunities for rebirthing and the resale of stolen vehicles and their parts,” a spokesman told insuranceNEWS.com.au.

A collaboration with IAG’s Technical Research Centre on cyber security risks and e-theft is one major project starting this financial year, according to the council’s 2018-2020 Strategic Plan.

The work with IAG will “make sure we are at the forefront of issues like electronic hacking and defeating electronic security systems,” Mr Hughes said.

He says there is no room for complacency despite the 6% drop in vehicle theft rate in the last financial year.

“Vehicle crime in 2018 is more complex than it has ever been because of the range of end uses that stolen vehicles are being put to,” he told insuranceNEWS.com.au.

“We have even seen stolen vehicles used in terror attacks. Stopping a vehicle from being stolen can actually preclude a lot of other illegal activity occurring.”

Criminal activities via stolen vehicles include drug trafficking, car jacking, insurance crime and burglary.

Queensland, the only holdout state, is an area of focus for Mr Hughes, who took over the reins last month following the retirement of long-serving executive director Ray Carroll.

“We would love to bring our program and partnerships to Queensland but we can’t unless the impasse over our funding is resolved,” Mr Hughes said.

“The silly thing about that is for an investment of little over $200,000, insurers would match that amount.”

Two years ago the future of the council was in serious doubt when Victoria was set to follow Queensland’s lead and drop funding for the scheme.

But a last minute reprieve saved the council, and Mr Hughes says Victoria is now “100% behind us”.

“That’s all been resolved. We got over that issue,” he said.