Some Ontario drivers' insurance premiums will go up soon if they don't have this security feature

An Ontario driver was 'shocked' that his insurance company threatened to increase his premiums unless he installed a certain security device in his vehicle.

An Ontario driver was “shocked” that his insurance company threatened to increase his premiums unless he installed a certain security device in his vehicle.

Arwinder Kalsi of Mississauga, Ont., owner of a 2020 Toyota Tundra pick-up truck said he recently got a letter from his insurance company, TD Insurance, that said he must install an anti-theft tracking device by the end of the month or his insurance premiums would go up.

“I was looking at the letter and I was pretty shocked,” Arwinder Kalsi of Mississauga, Ont. said

The Canadian insurance industry lost more than $1-billion to auto-theft last year – it’s why some companies have started informing customers they must install anti-theft devices or their premiums will be raised.

The letter Kalsi received from TD Insurance said, "your car is at a high-risk of theft” and “without a tag anti-theft tracking system installed on your vehicle, you can expect a significant premium increase as of your renewal.”

The letter offered to cover the cost of the installation up to $399.95 plus tax. Kalsi said he was told to pay for the device up front and he would be reimbursed.

"My renewal will be pretty much higher if I don't install these tags. I feel like the consumer is being held hostage. It’s like if you don't do this we will raise your premium," he said.