ADAS recalibration is driving windshield repair back into the shop

The auto industry has made many technological advancements over the years to improve the safety of motorists, but safe driving still relies heavily on human attention and skill. Take your eyes off the road for just two seconds and the odds of a crash double. Thankfully, our cars are growing smarter and advanced driver assistance systems (ADAS) are being developed to help us drive more safely and avoid collisions.

Windshields are a natural destination for ADAS and adoption is steadily climbing, driven by positive feedback from drivers, but there are still some potential roadblocks to overcome for insurers. As smart windshields grow more popular, we need to think about the rising cost and complexity of repairs.

Smart windshields offer compelling benefits

The potential impact of computer vision on auto claims is considerable. Properly calibrated windshields can help drivers with everything from parking accurately to changing lanes safely at speed to adaptive cruise control. ADAS can illuminate blind spots and engage emergency braking when required. Not only can smart windshields make us all safer, they can also gather valuable data about collisions and near misses that can enable us to improve systems further through machine learning.

Luxury brands have led the way, but it’s only a matter of time before smart windshields are everywhere as standard. Already today around 2.5 to 5% of auto glass claims require some form of recalibration and that’s based on 12 to 14% of vehicles on the road being fitted with ADAS equipment. As that second percentage climbs, so will the first. To be properly prepared to meet the demand, the industry needs to make changes and new investments.

Shift in auto glass repair

The trend over the last decade in auto glass repair has been towards mobile service, where the repair shop comes to the customer. A new windshield or the tools to fix a windshield come to the site of an incident, a home or an office, and they fix the windshield right there.

With smart windshields, it just isn’t that simple anymore.

The camera and other sensors attached to the windshield must be recalibrated very carefully to ensure that the ADAS features continue to work as intended. Imagine the potential liabilities if ADAS safeguards fail under repair.

Recalibrations can be done in several ways depending on the needs and manufacturer of the vehicle involved, but many require a perfectly flat surface and controlled lighting, so they really need to be done in the shop. The equipment required can cost $15,000 and the technicians who are going to carry out the repair must be properly trained.

Impact on customers

Most types of recalibration necessitate the car going into the shop and it’s inevitably going to take longer than an on-site repair and be considerably less convenient. On the other hand, most people will happily accept that requirement for the benefits of assisted driving and parking, not to mention the enhanced safety features that ADAS makes possible.

Insurers need to work out where they can send cars for recalibration and ensure that shops are properly qualified. In some cases, the shop may need to outsource the repair — much depends on the specific standards for different manufacturers and precisely how they deploy their ADAS. Extra care must be taken at the quote stage by the repair shop to ensure pricing is accurate and that they fully understand what is needed to fix and recalibrate a smart windshield.

Repair vs. replace

Repairing a chip or small crack in the windshield rather than replacing it is going to become preferable, even to vehicle owners in states with no deductible for auto glass. While it might seem like a no-brainer to get your windshield replaced at no cost, a repair can be done faster and usually avoids the need for recalibration and loss of vehicle use for that period of time. Insurers have always preferred repair over replacement, but with ADAS vehicles, the cost, complexity and time requirements of recalibration are going to make repair a more preferred option for vehicle owners as well.

Insurance premiums and liability

As insurance carriers track the impact of ADAS and recalibration on auto glass replacements, they will be able to effectively account for the cost in their policy pricing and underwriting, but the impact is certainly not clear yet.

There is also a question about liability should a repair not be completed correctly and later precipitate an accident. Some insurers and glass shops are beginning to require vehicle owners to sign a waiver if they drive away in a vehicle that has not been recalibrated. We will most likely continue to hear more about this as the percentage of ADAS-equipped vehicles on the road increases.

Increased car connectivity and the roll out of ADAS presents an exciting opportunity for insurers to drive safety improvements, just as they’ve always done. In-car telematics pave the way for diversified service offerings, reduce the risk of fraud, and should ultimately lead to a reduction in losses that should decrease driver premiums.

The challenges can be overcome with a little forethought, and smart insurers are already embracing the smart windshield.

Fred Lizza is CEO of StrategicClaim, a provider of a SaaS-based claims platform for carriers, agents and policyholders designed to expedite reporting and resolution of auto and homeowners insurance losses. He was previously CEO of Freestyle Solutions, an e-commerce and SAAS order management leader. Fred earned his MBA from Harvard. Contact him at FLizza@stclaim.com.