Most car crashes are due to human error, so it makes sense to replace people with computers. However, even with autonomous driving accidents can still happen and questions about liability will inevitably arise.
Let’s say a software glitch causes a fender bender, a decision to manually override the system turns out badly, or the operating system is hacked. Is the person in the driver’s seat or the machine and its manufacturer responsible?
Automation threatens to turn the insurance business on its head. Safer vehicles lead to fewer accidents and claims, and lower premiums. The industry is figuring out the answers before it has a wreck of its own.
“Advances in technology have laid the groundwork for a paradigm shift,” confirms Monika Sebold-Bender, country chief P&C officer, Generali Germany. “Insurance will be transformed, but can also drive change, and compensation remains crucial. This is how it should be, because then everybody contributes to protecting victims.”
