Texas and much of the rest of the country are seeing a surge in catalytic converter thefts in recent months according to car insurance agencies throughout the country.

These highly-targeted devices, which auto insurance providers understand can be removed from the underside of a vehicle in as little as one minute, are essential exhaust equipment that a vehicle cannot run without.

The problem for many drivers is that automobile insurance policies do cover this theft only if the proper car insurance coverage is carried, leaving vehicle owners with a hefty repair bill.

Car Insurance Agencies Seeing A Surge In Catalytic Converter Theft

Since it results in damage to the vehicles being affected, car insurance agencies throughout Texas and the country are seeing more and more reports of and claims for stolen catalytic converters this year than ever before.

Reports from the National Insurance Crime Bureau (NICB) and numerous leading auto insurance carriers indicate that from July 2020 to June 2021, theft of these high-sought parts has increased nearly 300% nationwide.

One leading automobile insurance company even paid out more than $33 million in claims related to catalytic converter theft in 2021, a stark difference from their previous year at only $9 million.

Why Is Catalytic Converter Theft Rising?

According to most car insurance agencies, catalytic converters have always been a target item, partly due to how they are made and partly because they are costly to replace.

Constructed using the three precious metals of rhodium, platinum, and palladium sourced from African mineral mines, with a market price of more than $1,000 per ounce today and are stolen to harvest the metal.

Others steal them to be sold outright to vehicle owners in need of repairs since demand has skyrocketed due to production issues since the COVID-19 pandemic lockdowns.

Auto insurance agencies find that even new parts have become harder to get due to production and supply chain issues over the past few years, so the black market for catalytic converters is thriving.

Does Auto Insurance Cover Catalytic Converter Theft?

Automobile insurance policies cover repairs after the theft of a catalytic converter as long as the proper coverage is carried.

Generally, it is only policies that have comprehensive or non-collision coverage that will cover this stolen part and the cost of having a new one put on.

Unfortunately, vehicle owners who have often paid off an auto loan only carry collision insurance or even just liability coverage and cannot claim this theft.

Considering the cost of this necessary repair and the frequency to which these thefts are occurring, drivers should consider how adding comprehensive coverage to their policy might be worthwhile protection.

Talk To An Auto Insurance Agency About Comprehensive Coverage Today

An essential vehicle exhaust part, catalytic converters have become a hot theft item that car insurance agencies and vehicle owners are paying the price for as demand for these parts skyrockets.

Though there are some new laws being considered in Texas to hopefully deter more thefts, automobile insurance agencies recommend that vehicle owners take steps to protect themselves in the meantime.

Other than keeping vehicles securely contained whenever possible, the other option is to talk to an auto insurance agent about adding comprehensive coverage to an auto policy!