Thefts of catalytic converters on the rise

RICHMOND, Va. — Thefts of exhaust emission control devices have jumped over the past two years as prices for the precious metals they contain have skyrocketed, prompting states to toughen penalties and impose new requirements for scrap metal dealers who buy catalytic converters.

Thieves can expect to get anywhere from $50 to $300 if they sell the converters to scrap yards, which then sell them to recycling facilities to reclaim the precious metals inside, including platinum, palladium and rhodium.

For victims, the costs of replacing a stolen catalytic converter can easily top $1,000 and make their vehicle undrivable for days or weeks as the part is ordered and installed. It can also leave owners feeling vulnerable.

The National Insurance Crime Bureau said the number of catalytic converter thefts reported in claims to insurance companies jumped from 3,389 in 2019 to 14,433 in 2020. Bureau President David Glawe said there has been a significant increase in thefts since the beginning of the covid-19 pandemic.

“It’s an opportunistic crime,” Glawe said in a statement. “As the value of the precious metals contained within the catalytic converters continues to increase, so do the number of thefts of these devices. There is a clear connection between times of crisis, limited resources and disruption of the supply chain that drives investors towards these precious metals.”

Ten states enacted new legislation in 2021, including laws in Arkansas, South Carolina and Texas that require scrap metal buyers of used converters to maintain records of purchases, including proof of ownership, vehicle identification numbers, the seller’s home address and driver’s license numbers, according to the insurance crime bureau.

In North Carolina, a law that went into effect Dec. 1 makes catalytic converter thefts a Class I felony and requires businesses that buy used catalytic converters to get documentation and maintain detailed records on people who sell the devices to them.

A bill modeled after the North Carolina law will be introduced in Virginia when the legislature reconvenes this month. The measure would make the theft of a catalytic converter a felony and presume that anyone in possession of one that’s been removed from a vehicle has obtained it illegally unless the person is an authorized scrap seller or has a bill of sale, receipt or other documentation.

“It would make it more risky for the thieves to steal them,” said Virginia State Sen. Frank Ruff Jr., who is sponsoring the bill. “The sellers would have to show more identification, and then at the same time, the salvage dealer would not want to get in trouble so he’d be less likely to allow them to sell to him.”