{"id":1257,"date":"2018-12-27T18:17:33","date_gmt":"2018-12-27T22:17:33","guid":{"rendered":"https:\/\/www.protectiveagency.com\/blog\/?p=1257"},"modified":"2024-02-23T11:59:23","modified_gmt":"2024-02-23T15:59:23","slug":"influence-self-driving-cars-will-car-insurance","status":"publish","type":"post","link":"https:\/\/www.protectiveagency.com\/blog\/influence-self-driving-cars-will-car-insurance\/","title":{"rendered":"The Influence Self-Driving Cars Will Have on Car Insurance"},"content":{"rendered":"

Self-driving vehicles,also called driver-less or autonomous cars, used to be concepts that seemed more fitting for a sci-fi book or a futuristic movie. With each passing year, more and more vehicles have features like crash avoidance and collision warnings. Since most accidents are caused by human error, driver-less cars could theoretically have the potential to lower the number of vehicle accidents.<\/p>\n

However, numerous factors ensure this is a gradual shift. While it\u2019s not an overnight change in the vehicle industry, it is visible on the horizon. Drivers and insurers must consider the impacts this innovation has on auto insurance. The following explains some of the things to keep in mind.<\/p>\n

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Automation Levels of Self-Driving Cars<\/strong><\/h2>\n

The thought of being chauffeured around by, well, no one, may seem exciting to some people. But to others, very real concerns come up. The concerns are valid when it comes to insurance considerations since the driver usually bears so much responsibility. Yet,the innovative machines grouped into a driver-less\/self-driving category actually have different levels of automated features and aren\u2019t necessarily completely driver-less. It\u2019s important to understand these various levels to realize the current influence and the potential influence on auto insurance. The U.S Department of Transportation has adopted the following automation level system, which was created by the Society of Automotive Engineers International (SAEI).<\/p>\n

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0 – No Driving Automation: <\/strong>No driving automation anywhere<\/p>\n

1 – Driving Assistance: <\/strong>Adaptive cruise control OR lane centering as the driver supervises<\/p>\n

2 – Partial Driving Automation: <\/strong>Adaptive cruise control AND lane
\nCentering as the driver supervises<\/p>\n

3 – Automated Driving (Conditional): <\/strong>Automated driving in dense freeway traffic at low speeds<\/p>\n

4 – Automated Driving (High): <\/strong>Automated driving within a city\u2019s center (boundaries established in coordination with GPS)<\/p>\n

5 – Automated Driving (Full): <\/strong>Automated driving everywhere<\/p>\n

While warning systems for front-end collisions have been around since 2000, the Highway Loss Data Institute predicts that most vehicles will have the feature by 2049. The Insurance Institute for Highway Safety states that 4.5 million vehicles with self-driving features (not fully automated) will be in use by the year 2030.<\/p>\n

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Shifts in Liability<\/strong><\/h2>\n

If vehicles are controlled more by computerized systems developed by their manufacturers, and less by the actual drivers, the notions of driver liability and responsibility will inevitably evolve. The conversations about liability became serious in 2016, with the first fatality from a driver-less car accident. The manufacturer, Tesla, reported that the car\u2019s sensors didn\u2019t detect a large truck turning into the vehicle\u2019s path in bright daylight.<\/p>\n

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Ultimately the National Highway Traffic Safety Administration determined the Tesla\u2019s system didn\u2019t have safeguards in place to compensate for such scenarios. At this point, the final evolution of liability remains to be determined as the technology\u2019s shortcomings are worked through. If the vehicle is owned by a business,<\/a>then there may be a different set of concerns.\u00a0<\/strong><\/p>\n

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Regulatory Matters <\/strong><\/h2>\n

With self-driving cars presenting numerous changes in operation, and manufacturing, there are significant opportunities for new legislation at the federal and state levels. Lawmakers began enacting some laws for this niche several years ago, but more can be expected. For example:<\/p>\n