My comprehensive car insurance premium recently rose by 17 per cent, pushing it to $1025 for a vehicle valued at $13,000.

This increase came even after I used a broker and shopped around online. It’s a concerning jump, especially during a broader cost-of-living crisis.

I asked an AI tool if this increase was typical, particularly for Victorians over 50. It confirmed the trend and provided a stark explanation for why Victoria's premiums are so high, even compared to northern states with more extreme weather events.

The core issue is car theft. Victoria has become Australia's car-theft capital. In 2025, the state recorded more than double the volume of car thefts seen in New South Wales. The gap between Victoria and NSW widened from 76 per cent higher in 2024 to a staggering 123 percent higher in 2025.

This surge in theft directly impacts insurance costs. Motor theft claims in Victoria skyrocketed by 59 per cent in a single year. Costs incurred from these claims were up 70 per cent, totalling about $223 million. In contrast, Western Australia, South Australia, and New South Wales saw a fall in motor theft claims during the same period. This makes Victoria’s situation exceptional from an insurer's perspective.

Even regional areas are affected. My location, Ballarat, has a motor vehicle theft rate of around 1721 incidents per 100,000 residents. This is about 56 per cent higher than Victoria's state average of 1100 per 100,000, placing Ballarat in a high-risk percentile nationally. Insurers price at a postcode level, so local risk plays a significant role.

Theft isn't the only factor driving premiums up. Nationally, comprehensive motor premiums have risen about 42 percent since 2019. This is also due to increasing input costs: higher average repair costs for complex modern vehicles, more expensive parts, longer repair times, and rising wages for auto trades. New and used car prices are also up, increasing the cost for insurers when vehicles are written off or stolen.

For Victorian voters, these spiralling insurance costs must be a cost-of-living election issue. The data points to a clear need for stronger police action and improved security measures across the state.

Despite these challenges, I encourage everyone to shop around. Even when using a broker, I found it valuable to check online. Different insurers weigh risk factors and postcode data uniquely. Loyalty often doesn't pay, so taking the time to compare quotes can sometimes ease the burden.