Brazil has one of the highest theft rates in the world. Due to the high levels
of theft, car insurance that provides theft coverage can be very expensive and
is a significant cost of ownership consideration for Brazilians. However,
sales of new passenger cars in Brazil show no signs of slowing. New car sales
have increased year on year since 2002 and are at almost twice the level they
were just five years ago. To understand these contrasting trends it is
essential to get an in-depth understanding of the Brazil market.
SBD's report ‘Brazil - Car Theft & Insurance’ gives a comprehensive guide
to the market situation in Brazil and summarises the status of vehicle theft
in the country. The reasons for theft, methods and theft reduction initiatives
are discussed and the main requirements outlined by the CONTRAN Regulation 245
This report also takes a detailed look at how the insurance system works and
the different types of insurance policies that are available. The requirements
used by the insurance industry to assess damage and repairability and vehicle
security are also examined.
This report will help you:
- Analyse the main reasons behind car theft in Brazil and the measures taken
to reduce it;
- Discover which cars are most at risk of being stolen and what happens to
the cars that are stolen;
- Understand how car insurance premiums are calculated including vehicle
specific and driver specific factors;
- Learn how damage and repairability assessments are conducted and how car
security ratings are calculated.
Recycling of Spare Parts is a Thriving Industry ...
Brazil is a fast emerging market in the developing world. As a part of the
BRIC group of countries, Brazil's economy has seen sustained growth;
overtaking the UK at the end of 2011 to become the 6th largest economy in the
Unfortunately, Brazil suffers from a high rate of car theft. Although theft
rates suggest that the situation is improving, the truth is that the increased
wealth in the country and subsequent increase in car parc has resulted in
statistics that do not portray the real situation.
Passenger Car Theft Rate Comparison (2010) - per 10,000 cars
Vehicles are stolen predominantly for three purposes:
- To be disassembled and their parts used to supply the black-market;
- To be used in other organised crime (e.g. drug / arms trafficking and
- To be sold for cash for personal funds.
Immobilisers are fitted as standard to the majority of cars and are a very
effective form of theft prevention where the thief does not have access to the
keys of the vehicle. This has resulted in thieves taking a different approach
to obtaining cars; car-jacking.
The government in Brazil has decided that the emphasis needs to be on the
detection of stolen vehicles as opposed to trying to prevent theft in the
first place. This has resulted in the Contran 245 legislation being
introduced. This is the mandatory fitment of tracking devices to all vehicles
sold in the country. The devices would be fitted by the vehicle manufacturers
either during production or retrofitted once the vehicle is imported into
About the Report Authors
Shawn Genus (Project Manager - Consulting Division).
Shawn has 10 years experience of working with Automotive OEMs and Tier 1
suppliers as a Project Manager specialising in production processes. He spent
one year as part of a team establishing a production facility in China to
produce automotive cables. He has a degree in Manufacturing Systems
Engineering and will be bringing his knowledge of turning designs into
products to the Consultancy Division of SBD.
Paul Burnley (Secure Car Expert - Consulting Division).
Paul graduated from the University of Surrey with a Masters degree in
Electrical and Electronic Engineering. He has worked with a number of leading
suppliers developing cutting-edge automotive electronics. His strong technical
background makes him an expert in investigating the operation of in-car
electronics. The more in-depth projects Paul has led at SBD include
development of proprietary relay attack tools and countermeasure workshops and
studying emerging trends in electronic theft and automotive hacking.
IMPORTANT CONFIDENTIALITY NOTICE:
** Due to the confidential nature of the report content, your request to
purchase SBD's security reports will be vetted by SBD's security team, prior
to any sale agreement. **