Drivers fear insurance price rises as a result of driverless technology

New research from insurance market researchers Consumer Intelligence shows that many drivers are concerned about the impact driverless technology might have.

New research from insurance market researchers Consumer Intelligence shows that many drivers are concerned about the impact driverless technology might have.

Of the motorists questioned by Consumer Intelligence, 71% said they believe insurance premiums will rise as a result of driverless cars joining the roads. Though this number falls for motorists aged under 18, at 65%, the majority sill believe rates will rise.

Drivers fear insurance price rises as a result of driverless technology
Meanwhile, over a third (35%) of those surveyed believe that insurance costs will rise substantially to pave the way for driverless cars.

Ian Hughes, chief executive of Consumer Intelligence, said: “Motorists are definitely not convinced yet of the benefits at least in terms of the impact on insurance prices despite the reassurance from the industry that human error is the main cause of accidents.”

“With more than seven out of 10 people convinced driverless cars are going to cost them more on insurance there is a job to do on selling the benefits.”

Consumer Intelligence data shows that car insurance prices have already risen by 13% in the past year to roughly £683. However, according to Consumer Intelligence, as insurance industry data shows that 94% of motor accidents are caused by human error, long term predictions are that premiums could fall by as much as 80% over the next 25 years.