Self-driving cars and their effect on insurance

Self-driving cars and their effect on insurance

by | May 10, 2016 |

While drivers in Michigan might have some complaints regarding their auto insurance premiums, insurance is a necessity that can help victims of accidents recover expenses after a wreck occurs. With advances in technology and many companies working on self-driving cars, several questions exist about how auto insurance and personal injury claims will change when autonomous cars are available for purchase.

New safety technology in vehicles has produced speculation that collisions might be dramatically reduced or that people would no longer be injured or killed in car accidents, and there is a question of whether there would still be a need for auto insurance if crashes become rare. Safer cars would not eliminate the need for insurance protection against theft, but insurance agencies will likely be needed for a while as the amazing potential of self-driving cars is not a reality yet.

Insurance for motorists ensures that those who are injured in car accidents can still pursue resolutions if the actual benefits of autonomous vehicles do not live up to the hype. More testing is required to figure out the specifics of how self-driving cars will influence the future, and auto insurance companies need more data about the vehicles before making changes to the way they currently operate.

The day when self-driving cars become commonplace sights on American highways may be very far off. Until that time, motor vehicle accidents will unfortunately continue to cause hundreds of thousands of injuries, many of which will be serious. When a person is injured in a collision caused by the negligence of another driver, an attorney could assist in seeking compensation from the at-fault party for medical expenses and other losses.