NAAIS News Blog > March 2018 > How Driverless Cars Will Effect Auto Insurance

    How Driverless Cars Will Effect Auto Insurance

    3/19/2018 4:03:18 PM
    With the recent flurry of activity in the world of autonomous vehicles, the advent of driverless vehicles is no longer a futuristic idea as seen in a Will Smith movie. Auto manufacturers such as GM and Volvo are already trying their hand at this groundbreaking innovation by partnering with ride-share companies like Uber and Lyft. Researchers are saying this could lead to fewer individually owned cars, fewer accidents and, therefore, lower premiums.

    What does this mean for the auto insurance industry? While auto insurers are expected to see some changes, such as lower premiums as soon as 2026, the process will be gradual, giving insurers time to adapt and find other revenue opportunities.

    Regardless of how gradual the process, it appears Millenials will eventually be telling their grandkids, "Back in my day, people drove themselves to school."

    Check out this great article on the subject.