Will Insurance for Your Self-Driving Car Cost More?

Melissa Juarez
Aug 28, 2017 · 2 min read

With companies like Volvo and Tesla investing heavily in the ideal, self-driving cars are becoming closer to a reality everyday. The big question is; will these automobiles make our roads safer, or will they put drivers at greater risk? There are arguments for both sides. On one hand manufacturers insist that their creations will save lives as the human error factor is removed from driving. The other side of the coin however is that driving could become riskier if operators don’t understand the technology and its limitations. Furthermore, who would be responsible for damages if an autonomous vehicle causes and accident, and what effect will the introduction of these automobiles have on the cost of car insurance in Salk Lake City?

In the United Kingdom, auto insurance companies are actually supporting the introduction of self-driving cars, insisting that the more intelligent computers guiding these cars will make better and quicker decisions than their human counterparts. They do however admit that, at present, there is a danger of drivers of automated vehicles not fully understanding the limitations of current systems. Their answer to this dilemma is to classify semi-autonomous vehicles such as those who use only cruise control as “assisted” vehicles, while those that are fully autonomous be labeled as “automated.” Thus insurers will be able to set their rates based on the risk factors unique to each vehicle. What consumers wish to know however is whether insurance for such cars will cost more or less?

In the United States, the Insurance Institute for Highway Safety shares much the same views, and agrees on the potential problems unique to self-driving cars, but also shares the view that eventually this technology will save lives. Insurance companies themselves are still struggling to come up with answers, and most agree that until the technology is perfected and policies developed specifically for fully automated vehicles, there is no clear-cut answer. One thing for sure is that rates will be affected, but exactly how or by how much is yet to be seen. Until the question of liability is sorted out, the issue will remain confusing and uncertain for those driving autonomous vehicles and for the other drivers on the roads with them.

At present legislation surrounding accidents involving self-driving cars in in its infancy, and although experts are able to make a certain amount of predictions, remember that is what they are at the moment — informed predictions. If you’re considering the purchase of an autonomous vehicle it would be wise to first get an auto insurance quote from your provider.

ASA Insurance provides excellent coverage for car and home insurance in the Salt Lake City area with the lowest rates to the English and Spanish communities. Affordable rates and superior service for all home, auto and business/commercial insurance needs.

)
Welcome to a place where words matter. On Medium, smart voices and original ideas take center stage - with no ads in sight. Watch
Follow all the topics you care about, and we’ll deliver the best stories for you to your homepage and inbox. Explore
Get unlimited access to the best stories on Medium — and support writers while you’re at it. Just $5/month. Upgrade