Technology content trusted in North America and globally since 1999
7,522 Reviews & Articles | 55,398 News Posts

Autonomous vehicles prove to be cause of concern for auto insurers

Auto insurance companies are waiting to see what happens with autonomous vehicle development, which certainly seems to be a future vehicle technology
By: Michael Hatamoto | Technology in Vehicles News | Posted: Apr 14, 2015 6:22 pm
Comment () | Email to a Friend | Font Size: AA

Automakers are pushing towards fully autonomous vehicles in the United States, Europe and Asia, but that may not be a welcome change for everyone. Auto insurance companies are expected to have to deal with self-driving vehicles over the next 10 years, though they will likely have more than 30 years to adjust to widespread autonomous adoption.

 

autonomous-vehicles-prove-cause-concern-auto-insurers_01

 

If vehicles become safer, the $200 billion auto insurance industry could end up losing billions - a realistic, yet frightening issue that insurance companies already must deal with. Higher-end vehicles have semi-autonomous features designed to keep drivers safe and reduce the chance of accidents.

 

Esurance, State Farm, and other auto insurance companies seem to be taking a cautious approach, waiting to see how autonomous vehicles develop before they hit the open road. It's possible policy rates could be calculated based on miles driven by humans or autonomously - but it's extremely difficult to pick hypothetical scenarios.

NEWS SOURCES:Sfgate.com, Media.ford.com

Related Tags

loading