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According to Google Self-Driving Cars May Rule the Road!

With the way autonomous driving technology advances, it would not be a huge surprise if were to see self-driving cars hitting the streets in about 15 years, and eventually replace all conventional cars. That’s why authorities have already started to prepare for this huge change to the way we travel, by working on new traffic laws and rules that will regulate the use of such vehicles. Driverless cars will definitely affect people’s lives significantly.

They are bound to improve traffic safety, by eliminating the human error, which is by far the biggest cause of car accidents, and they are expected to reduce CO2 emissions, which will contribute to improving air quality, and they should help reduce traffic congestion.

 

In addition to this, driverless cars will change the insurance industry, as well. The only thing we can’t be sure about at the moment is whether those changes will be positive or negative. All car makers that are developing autonomous driving technology claim that these vehicles will contribute greatly to reducing the number of car accidents and making streets much safer. This argument is supported by Google, as well, which has made a lot of progress with its autonomous car, completing hundreds of miles of accident-free testing.

Other top reasons autonomous cars will affect everyone:

1. You always have a designated driver when you go out to have a few drinks.
2. Your vehicle will be able to help you find a parking spot or your own car valet!
3. Your commute time will be more productive since you are able to work rather than drive.
4. No speeding tickets or moving violations.
5. Less accidents or some say “accident free”.
6. Reliable transportation for the elderly.

If this turns out to be true, according to Cnet.com, it will undoubtedly have an effect on the auto insurance market. It would mean that far less claims will be made, which would inevitably lead to cheaper insurance policies. In fact, insurance premiums have already started to fall, thanks to improved vehicle safety, with many car makers implementing expensive, sophisticated technology in their vehicles, such as lane departure warning systems, forward collision avoidance systems, or parking assist, which are definitely helping reduce the frequency of car accidents.

driverless car

Is the future is going to be self-driving cars? Flickr photo by Steve Jurvetson, Creative Commons license

Autonomous cars will have all these features, and much more, and will not require a person to sit behind the wheel, which will make them even safer, since a vast majority of accidents are a result of human error. Many accidents are caused by drivers that are distracted, drunk, drowsy, or by drivers who are not paying attention to speed limits or don’t obey traffic signs.

This will definitely make autonomous cars more appealing to drivers since they will help them save a significant amount of money on insurance. A recent survey conducted by Carinsurance.com found that as much as 90% of drivers would be willing to buy a self-driving car if it meant that they would receive a considerable discount on auto insurance.

Today, auto insurance is a $200 billion industry, and it’s a sector that provides jobs for more than 250,000 people. According to some estimates, insurance premiums could be as much as 80% cheaper by 2020, which would hurt the auto insurance industry a lot. Insurance companies’ revenues will obviously start to decrease, which means that hundreds of thousands of people could lose their jobs. However, the industry can avoid this grim scenario if it reacts in time and manages to adjust to these changes in the automotive market.

Jordan Perch
Jordan Perch is an automotive fanatic and “safe driving” specialist. His expertise includes subjects like traffic regulations and green car technologies. He is a writer for DMV.com, which is a collaborative community designed to help ease the stress and annoyance of “dealing with the DMV”.

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