Mashable article It’s the dawn of a new era for insurance companies: self-driving cars.
In a move that is sure to cause headaches for the industry, insurer Avid Life Insurance will be accepting self-drive cars in the 2018-2019 financial year.
Avid Life will start accepting self drives from July 1st, 2018.
It is expected that up to 30 percent of Avid’s customer base will be self-driven vehicles.
This is significant as Avid has been one of the first major insurance companies to embrace the technology, as the company announced its launch of a “driver assistance” feature for the 2020-21 fiscal year.
According to Avid, self-driver assistance technology will help customers “identify and prevent accidents by taking control of a vehicle.”
Avid CEO David W. Smith said, “Our customers need to be empowered to safely and securely operate their vehicles.”
According to the company, self driving cars will help protect against accidents, increase vehicle efficiency and lower the cost of insurance for both customers and insurers.
Avadid also stated that self driving vehicles are “more fuel efficient than conventional vehicles,” which means that consumers will save money on insurance.
“In order to achieve these benefits, we will begin accepting self driving vehicle applications from July 31, 2018,” said Avid in a statement.
“We will provide customers with clear and easy-to-understand information about the benefits of using self-Driving Vehicles, as well as a list of qualified applicants, to help them choose the right insurance.”
The company will also continue to accept the driver assistance feature from 2020 through 2021, but the feature will be phased out for the 2021 fiscal year, which ends in October 2021.
The company stated that it will not be accepting any new self driving car registrations during this phase out, and that it would continue to offer its current drivers the option to use self driving technology.
The move by Avid is a significant one for the auto insurance industry.
Self-driving vehicles have been a part of the automotive landscape for some time, with the likes of Uber and Lyft offering driver assistance features.
In the case of Uber, the company offers drivers the ability to “use their voice to alert drivers to potential hazards.”
In a statement, Avid said, “[Self-Drived] technology is helping to reduce the cost and increase the safety of drivers, passengers and the entire industry.
This is a big win for our customers and industry.”