Canadian insurance companies sue automakers over vehicle systems susceptible to theft
Two Canadian insurance companies have filed a $72 million suit against Toyota, Honda and Stellantis, claiming the automakers knew of anti-theft system weaknesses, according to media reports.
Yahoo Finance reports that there were 2,100 theft cases of theft tied to the specific automakers in a three-year period. It adds that the suit claims automakers knew of specific weaknesses that made certain vehicles far easier to target, including the Toyota Rav4 and Honda CR-V.
Beneva and L’Unique General Insurance claim in the suit that thieves intercepted the signal from a smart key fob and then used devices readily available online to program a new compatible key directly into the vehicle’s system.
“Because the lawsuit also claims these automakers have known about these vulnerabilities for years,” the article says. “Not recently. Not after the fact. The allegation is that the problems were already understood, yet vehicles continued to be sold with systems that could be bypassed.”
The article adds that auto theft claims have been climbing in Canada, with data from the Insurance Bureau of Canada showing losses have more than tripled over the past decade.
In the U.S., Delaware recently passed a bill through the house that would make it illegal to possess “vehicle security circumvention devices” or any device designed or used to intercept key fob signals, unless the user has a lawful and reasonable purpose for such a device.
The bill would also require “authorized” individuals to report any lost or stolen security circumvention devices to law enforcement within 48 hours of the loss or theft.
HB 351 was introduced on April 9 by Franklin Cooke (D-16). It passed the House May 14 with a 39-2 vote and has been assigned to the Senate Corrections & Public Safety Committee where it currently remains.
An Autel device was recently the key used by an international car theft ring to steal vehicles in the Washington metropolitan area and Pennsylvania, according to U.S. Attorney for the District of Columbia Jeanine Ferris Pirro.
“They don’t need keys, and they don’t need hot wiring; no smashed windows, no drama,” Pirro said. “Just a sleek electronic device called an Autel.”
She said that in under a minute, the car’s brain is rewritten.
“The car is gone in 60 seconds,” she said. “Welcome to the new world of car theft.”
Austin, Texas, police also recently warned of diagnostic tools being used to steal vehicles, according to local news station KXAN.
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