As auto manufacturers race to develop autonomous vehicles, it would do well to remember that many consumers remain split on technology's role in cars.
The latest report from J.D. Power and Miller Canfield, “Automated Vehicles: Liability Crash Course,” found that only 14% “definitely would” ride in a fully automated, self-driving vehicles, while 33% said they ”probably would.” Comparatively, 29% said they “probably would not” and 17% said they ”definitely would not.”
Related: Navigating the twists and turns of self-driving cars and insurance
|You be the judge
Technology's incremental implementation in cars has increased consumers confidence with it, but many still remain wary. As a result, the continuing development of automated driving systems (ADS) presents a number of risks in terms of liability.
According to the report, consumers are suspicious of technology failures and desire to resolve ADS product liability claims out of court. “Consumers are far more likely to settle product liability claims out of court, as long as they feel that there is transparency and fairness in the process,” Zlatina Georgieva, product liability and regulatory compliance attorney at Miller Canfield and co-author of the report, said in a statement.
But the report also found that more than half (51%) of consumers would pursue litigation for a Level 5 fully automated vehicle if it was involved in a collision and caused an injury. For this research, Level 5 is described as a vehicle where there is no human driver inside (only passengers); there is no steering wheel and the vehicle remains in control for the entire trip without any human intervention.
Related: Uber autonomous car involved in fatal crash in Arizona
|Colliding opportunities
Though consumer confidence of automated vehicles is mixed, Generations Y and Z present a unique opportunity for insurers. They are the among the most willing to ride in an automated vehicle, according to the study.
Nearly half (47%) of respondents indicated a willingness to take a driver's education course for self-driving vehicles, while 74% said they ”definitely” or “probably would” share information from an accident.
While the future of ADS remains to be seen, there are numerous areas where insurers can look to expand. From personal liability to cyber coverage, advances in technology present a number of growing liability issues — many of which remain to be seen.
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Denny Jacob
Denny Jacob is an associate editor for NU PropertyCasualty360. Contact him at [email protected].
