Insuring Driverless Cars Has Presented a Conundrum for Auto Industry
Luckily, driverless cars still have some time before they go mainstream and the auto industry is using this time to determine how to insure a driverless car. Who would be at fault if the car gets into an accident? Would insurance be cheaper? Could this signal revenue losses for the industry? All good questions for another industry set to be disrupted by advances in technology.
Who pays for an auto accident if there is no driver and no one to blame? As discussed in “Could self-driving cars topple the auto insurance industry? Not Likely, officials say,” posted by Lyle Adriano on IBAMag.com, the auto insurance industry appears split between the likely future for insurance. Some insurers believe that auto insurance will become obsolete with self-driving cars and others think a slight adjustment to policies may be in order. A feature article in the Los Angeles Times indicated that driverless cars could result in a 90% drop in car accidents due to driver error. While this should reduce insurance bills for consumers, it can also shrink the marketplace leading to disruption in the insurance industry.
Get the Answers to Your Questions with ERP and CRM
British Adrian Flux Insurance Services released the first ‘driverless car policy’ that covers cars with autonomous features, including self-parking and autopilot systems. It also protects drivers from situations like satellite failures and cyber-attacks. Other insurance agencies may also reevaluate insurance products and how they will insure customers with smarter cars or driverless cars. Reliable, current data is an important part of this investigation and insurers can deploy an enterprise resource planning (ERP) solution to gain insight over business and operational data. Greater visibility over existing financial operations can be used to forecast scenarios as you change products or services. A customer relationship management (CRM) solution offers insight into customer needs and demands. Business intelligence features in both ERP and CRM identify trending data that you can review and then use to cut costs, improve services and stay ahead of the changes that may soon disrupt the auto insurance industry.
When facing a conundrum, such as insuring driverless cars, taking a look at data can provide answers to your questions. Contact AKA Enterprise Solutions for more information about using ERP and CRM to prepare your business for the inevitable changes that driverless cars will soon deliver to the insurance industry.