(1) 626-796-1313
/
Contact Us
/
A. J. Longo Insurance Brokers A. J. Longo Insurance Brokers A. J. Longo Insurance Brokers
Navigation
  • Home
  • About Us
    • Blog
    • Our Philosophy
    • Philanthropy
      • ZCF Turkey Giveaway November 2020
      • SHELTER*37
      • Villa de Vida ~ Pasadena
      • Boys and Girls Club of Pasadena
      • Special Olympics Pasadena
    • Strategic Partners
  • About Us
    • image
      Blake Longo
    • image
      John DeSpirito
    • image
      Our Philosophy
  • Insurance Products
  • Insurance Products
    • Non-Profit Organizations
    • Food Processing
    • Construction Insurance
    • Manufacturing Insurance
    • Information Technology
    • Financial Institutions
    • Small Business
  • Our Services
  • Strategic Partners
  • Philanthropy
    • ZCF Turkey Giveaway November 2020
    • SHELTER *37
    • Motion Picture Television Fund Day
    • Boys and Girls Club of Pasadena
    • Special Olympics Pasadena
    • Villa de Vida ~ Pasadena
    • image
      Blake Longo with Dave Jones, State of California Insurance Commissioner at the VICA Awards Dinner on February 20th at Universal City.
  • Blake’s Blog
  • Contact Us
  • Philanthropy
    • Boys and Girls Club of Pasadena
    • Special Olympics Pasadena
  • Blog
Autonomous Driverless Car. Intelligent controlled car, smart navigation.Automobile sensors use in self-driving cars .

Could self-driving cars topple the auto insurance industry? Not likely, officials say

With driverless cars slowly but surely becoming a reality on roads everywhere, the question on everyone’s minds remains: Who is at fault should a driverless car figure into an accident?

No other question has given the auto insurance industry quite the headache. While some believe that the advent of self-driving cars would usher the end of auto insurance, there may yet be a role for car coverage with a little adjustment.

According to a feature on the Los Angeles Times, the introduction of driverless cars is expected to lead to the sharp drop of car-related accidents, as over 90% of such accidents are attributed to driver error. Theoretically, this fact should lower insurance bills for consumers, but conversely it could shrink the personal auto insurance market, the article posits.

A number of insurance giants have voiced their concerns over self-driving technology, citing that it would upset the industry.

In a speech last year, Allstate Corp. chariman Thomas Wilson notably said that the move to driverless cars could have “the most detrimental impact on auto insurance.”

Investor Warren Buffett—also chairman, president and CEO of Berkshire Hathaway, which owns GEICO—also said last year in a forum that “we would not be throwing a party at our insurance business” once driverless cars are introduced.

Despite such skepticism, some insurers and industry experts have stepped forward to meet the challenge the “robot cars” pose.

British company Adrian Flux Insurance Services recently launched what it touts as the first “driverless car policy”—it covers existing cars using autonomous features such as self-parking and autopilot systems. It would also cover drivers for situations out of their control, such as satellite failures or cyber-attacks from hackers.

“We wanted to help provide confidence and clarity around the ongoing debate of ‘who is liable?’ ” remarked Adrian Flux General Manager Gerry Bucke in a statement.

On the side, analysts agree that while liability continues to be an issue, consumers will still need insurance for damages outside of driving, such as from falling trees or vandalism.

American Insurance Association Assistant General Counsel & Chief Claims Counsel James Whittle is not too worried, and believes driverless cars will not be too much of a big problem for the industry, for “the simple reason that a lot of people like to drive.”

Source: Insurance Business

Search

Recent Posts

  • Trapped by your Medical Renewal Date?
  • What agents need to know about the October flood insurance changes
  • Americans Put Too Much Faith in Homeowners Insurance
  • Couple Sues Pokemon Claiming Neighborhood Unsafe with Gamers
  • These 10 states have the worst drivers in the country

Protected by



snip_mr2

Our Cloud

ACA accident Auto bank Business Auto California Computer Systems LIability construction cyber Equipment Breakdown Errors and Omissions Evacuation and Political Unrest Foreign Liabilities Insurance International kidnap and ransom liability Los Angeles OREO Pasadena Pasadena Insurance Professional LIability Recall retirement Sexual Misconduct special events Travel West Covina Workers Compensation wrap
253 North Lake Avenue | Pasadena, CA 91101
© 2012 - 2020 A. J. Longo & Associates | CA Insurance License 0524739
  • Accessibility Statement
  • /
  • Contact Us
  • /
  • Privacy Policy
  • /
  • Sitemap
  • /
  • Blog
  • /
7ads6x98y