Australia’s campaign against car theft is working, with incident rates continuing to fall. Statistics from the National Motor Vehicle Theft Reduction Council show the rate of vehicle theft has fallen for the six years to 2005, and this year looks like following the trend.

A total of 18,733 thefts were reported over the first quarter, down 8% on the same period last year. That worked out to $80 million of claims for Australia’s motor insurers, with an average payout of $10,135.

Executive Director Ray Carroll says there is even more good news on the recovery front for insurers. The number of unrecovered vehicles has been steady but there is a substantial shift away from newer cars, which cost insurers the most.

About half of the 13,474 unrecovered stolen vehicles in 2005 were worth less than $6000, and just 6% were valued at more than $30,000. It’s a cheering economic result, but it’s socially less pleasant news. Older cars are invariably owned by those Australians least able to afford the loss.

Mr Carroll says the reduction in theft of newer cars shows the council’s work on vehicle identification is having an effect in the black market for stolen vehicles. He estimates it has reduced insurers’ claim costs by about $160 million over the past four years.