Sunday, September 10, 2017

Delaware Business Insurance Update from CNC Insurance Associates Inc. " More Thoughts On Self Driving Autos, Whose Liable ?" 9-10-17

Technology is changing the way the insurance industry looks at liability with auto insurance. More and more people are buying cars which practically can drive themselves. In actuality, many feel that drivers will not be needed, only riders, as cars will do the driving with no one behind the wheel. So now the question is, following an accident who is liable?  Answering this question will dictate the future of auto insurance. If drivers are no longer liable for accidents, then the insurance industry will have to charge much less for insurance. Are the car manufacturers, or technology companies that install the self driving features liable?  If this is the case then they should be charged the premium not the drivers. Does this mean that auto insurance for drivers will be dramatically reduced? I would think so. There is no doubt , auto insurance is about to be dramatically changed. Insurance companies will have to adjust their model from a consumer focus to a manufacturer or business focus. This will be a major loss of revenue for auto insurers and a great day for consumers. There are still a lot of questions surrounding this issue and only time will tell how it will shake out. Either way I see more money in the pockets of drivers as their auto insurance will be a lot less. Until next time be careful out there and know your risks.

G. Kevin Nemith President CNC Insurance Associates Inc.
serving DE, MD, PA, NJ, & VA