How brokers can help customers prepare stronger fleet renewal evidence

By Simon Donovan | Executive General Manager, Sales and Distribution of Fuse Fleet and contribution by Richard Davies, Head of Operations and Strategic Partnerships of McLardy McShane Partners

When risk concentrates, underwriting questions change. Victoria shows how.

Victoria is the clearest current example of what happens when motor theft risk concentrates in one market.

The 2025 Insurance Council of Australia motor theft claims data gives brokers a factual starting point. It shows theft claims falling across the other states analysed, while Victoria moved sharply in the other direction. The issue for brokers is the lesson sitting behind the numbers.

When theft and attempted theft start to affect account performance, renewal conversations become more evidence-led. Underwriters look more closely at how vehicles are stored, how vehicle keys are managed, how incidents and near misses are reported, what recovery processes are in place and what the customer can show to demonstrate the risk is being actively managed.

For fleet customers, the issue is the cost path that follows the incident. A theft or attempted theft can create recovery costs, repair costs, replacement vehicle costs, salvage issues, claims handling complexity and operational disruption.

For brokers, the opportunity is to help customers turn practical risk controls into a clearer renewal story.

This edition looks at the pressure building in Victoria, the underwriting questions now being asked and what fleet customers should be ready to show before renewal.

Why theft risk is changing the renewal conversation

Excluding Victoria, national motor theft claims fell by 10%, while total claims costs reduced by 8%.

Victoria was the clear outlier. Motor theft claims increased by 25% to more than 12,500 in 2025, costing insurers $243 million. Metropolitan Melbourne accounted for 10,400 claims totalling $205 million, representing a 30% increase in claim numbers and a 42% increase in claim costs compared with the previous year.

RACV’s summary of Crime Statistics Agency data adds further context. For the 12 months to December 2025, Victoria recorded 32,013 motor vehicle theft incidents.

The theft method is also shifting. RACV, citing Victoria Police data, reports that electronic key reprogramming and cloning devices are linked to roughly one in five stolen vehicles, with police seizing more than 800 such devices in the past year.

Victoria Police data also shows changing theft trends across vehicle models, with increased targeting of selected Toyota and Subaru vehicles alongside the longstanding exposure of the Holden Commodore.

For brokers, the issue is how quickly a customer’s risk profile can change when vehicle mix, depot location, after-hours parking or theft methods shift.

For commercial and rental fleets, the total cost of a theft claim can extend well beyond the vehicle itself. Vehicle downtime, replacement vehicle hire, recovery, transport, salvage and claims handling can all contribute to the final incurred cost.

Underwriting lens

The 2025 data sets the factual base, but the 2026 conversation has moved further into risk management.

Our Executive General Manager, Agency, Andre Sliwka, says, “From an underwriting perspective, the question is no longer simply whether a customer has experienced a theft claim. The focus has shifted to understanding what risk controls are in place to reduce the likelihood of theft and how those measures can help minimise the impact when a loss occurs.”

That is where telematics becomes more than a technology discussion. It becomes evidence of active risk management. Vehicle tracking can support faster recovery, improve incident information and reduce uncertainty in the claims process. For brokers, this shifts the conversation from the claim itself to the controls a customer has in place to actively manage fleet risk.

Andre commented that, “Strong renewal outcomes are driven by evidence: how exposure has evolved, how risk is managed and how tools such as telematics support vehicle recovery and provide underwriters with greater confidence in pricing. This gives brokers a clear framework to demonstrate risk improvements at renewal.”

The risk management response

Vehicle recovery issues are putting pressure on fleet customers, particularly where vehicle availability is critical to daily operations.

Customers should be able to demonstrate practical risk management measures, including claims and incident history, vehicle key control, secure storage, telematics, theft response processes, recovery planning and operational continuity.

When vehicles are recovered sooner, incidents are documented more effectively and claims can be handled faster, brokers have a stronger risk management story to present to insurers at renewal.

A broker’s view from the ground

Q1. The market reality — The Victorian market is coming up more often in broker and underwriter conversations. What commentary are you hearing from brokers about theft, break-ins, vandalism and malicious damage?

The feedback I’m hearing from brokers is that theft, break-ins, vandalism and malicious damage are becoming more prominent discussion points, particularly for fleet operators and businesses that rely heavily on vehicle availability.

Having worked across both claims and underwriting myself in the past, I’ve seen how these incidents can create significant disruption beyond the initial loss, which is driving greater focus on vehicle security, storage arrangements and proactive risk management.

Our authorised representatives and brokers are always striving to help clients understand that protecting assets isn’t just about insurance coverage. It’s also about reducing the likelihood and impact of an event occurring in the first place.

Q2. The cost path — The cost of a theft or damage event can extend well beyond the vehicle itself. How should brokers help customers think about downtime, recovery costs, replacement vehicles and third-party exposure?

From my experience, downtime, lost revenue, replacement vehicle costs, towing, storage, recovery expenses and potential third-party liabilities can have a much greater impact on a business than the physical damage itself.

I have seen our authorised representatives and brokers add real value by helping clients quantify these exposures before a claim occurs. That means understanding how vehicle downtime could affect operations, service delivery and revenue, then reviewing whether policy coverage and business continuity planning are aligned.

This proactive approach helps clients identify potential gaps around replacement vehicles, consequential costs and operational disruption before an incident occurs.

Q3. The underwriting lens — Victoria is becoming a more challenging underwriting environment. What practical evidence should brokers bring to market to show a customer is actively managing motor risk?

There is definitely a stronger focus on understanding the overall quality of a risk rather than simply assessing vehicle values or fleet size. Underwriters are looking closely at factors such as claims history, vehicle usage, operating locations, security measures, driver management practices and the effectiveness of risk controls, while technology such as GPS tracking is becoming increasingly valuable.

From both an underwriting and operational perspective, businesses that can demonstrate strong governance, proactive risk management and a commitment to reducing losses are generally better positioned to achieve favourable underwriting outcomes.

Tool of the Month – Fleet Theft Management Checklist

The strongest fleet insurance conversations are built on evidence.

Our Fleet Theft Risk Management Checklist is a customer-ready guide brokers can share before renewal to help fleet customers prepare a clearer theft risk story.

The checklist covers the practical areas that can influence theft exposure, recovery and claims performance, including claims history, attempted theft, telematics, vehicle tracking, key control, vehicle storage, theft response processes and operational impact.

It is designed to help customers gather the information brokers may need to explain what has changed, what controls are in place and how the fleet is being actively managed.

For brokers, it creates a practical way to start the conversation early and help customers bring stronger evidence to market.