Insurance Bureau Makes Autonomous Vehicle Recommendations

The Insurance Bureau of Canada (IBC) has released a report in which the national insurance industry association makes three recommendations to prepare drivers and insurers for a future of autonomous vehicles.

While the IBC acknowledges research suggesting autonomous cars could reduce the frequency of fatal crashes, the 15-page report addresses the fact that once cars are driving themselves, collisions will no longer be mostly due to human error, but also possibly malfunctions in the computerized systems controlling the vehicle instead of human error.

That, says the IBC, raises the concern such a shift in responsibility could mean longer waits for compensation for people injured in a crash because of the added complexity of product liability litigation compared to motor vehicle claims.

The IBC proposes a trio of changes to provincial insurance laws across Canada.

The first is to establish a single insurance policy that covers both driver negligence and liability related to the automated vehicle technology.

Second is a legislated data-sharing arrangement between car manufacturers, vehicle owners and/or insurers to make it easier to determine the cause of a crash.

Finally, the IBC suggests an update to Canada's federal vehicle safety standards to align them with technology and cyber security standards.

Click here to read the IBC's report, titled Auto Insurance for Automated Vehicles: Preparing for the Future of Mobility.