1. Autonomous Vehicles: Perspectives, Regulations & Insurance
NOTE: Copy and paste “presented by” information if using a different layout.
PRESENTED BY:
Casey Brewer, CPCU
Product Manager - Auto AAIS
Autonomous Vehicles: Perspectives, Regulations & Insurance

2. What are we covering Understanding Perceptions and Timelines
Who will Regulate Autonomous Vehicles
Insurance Industry Challenges and Opportunities

3. What does “Autonomy” mean?
Level 0 – No Automation
Level 1 – Driver Assistance
Level 2 – Partial Automation
Level 3 – Conditional Automation
Level 4 – High Automation
Level 5 – Full Automation

4. Why Now? 37,133 Traffic Fatalities in 2017
1.16 per 100M Miles
Down 1.8% from 2016
Average age of vehicles on the road is 11+ Years
Blackberry’s Market Share peaked 10 years ago
3 Domestic Automakers have Ceased Operations in this Time
Infrastructure 1.0
Federal Highway System Act of 1956 – 41,000 mile system of Interstate and Defense Highways that would eliminate unsafe roads, inefficient routes, traffic jams and all other things that got in the way of “speedy, safe transcontinental travel” - Eisenhower

5. Understanding Timelines - Consumers
“Deloitte Study: Consumer Trust in Autonomous Vehicles on the Rise” – January 8, 2018
“Deloitte Study: Consumers Pump the Brakes on Autonomous Vehicle Adoption” – January 7, 2019

6. Understanding Timelines – Manufacturers
“People have had this really unrealistic view of how fast this really groundbreaking technology can be implemented…It’s going to be painfully slow.” – Mike Ramsey, Gartner, Inc.

7. Understanding Timelines – Maybe…?
The “Back To The Future” vision
Cautious Optimism
Crushing Reality
Tesla?

8. Understanding Timelines - Deployment
Iterative/Evolutionary Change
Long Period of Blended Environment

9. Who will Regulate Autonomous Vehicles
National Highway Traffic Safety Administration
Federal
State
Similar to Today
Model State Policy

10. Federal Oversight - NHTSA
Setting Safety Standards for New Motor Vehicles and Motor Vehicle Equipment
Enforcing Compliance with the Safety Standards
Investigating and Managing the Recall and Remedy of non- Compliances and Safety-Related Motor Vehicle Defects and Recalls on a Nationwide Basis
Communicating with and Educating the Public about Motor Vehicle Safety Issues
Issuing Guidance for Vehicle and Equipment Manufacturers to Achieve National Safety Goals
Federal Automated Vehicles Policy, USDOT/NHTSA September 2016

11. State Oversight
Licensing (Human) Drivers and Registering Motor Vehicles in their Jurisdictions
Enacting and Enforcing Traffic Laws and Regulations
Conducting Safety Inspections, when States choose to do so
Regulating Motor Vehicle Insurance and Liability
Federal Automated Vehicles Policy, USDOT/NHTSA September 2016

12. States with Enacted Legislation or Executive Order

13. Insurance Programs
Understand Customer Needs - Traditional and Non-traditional
Liability
First-Party Injury
Vehicle Protection
Cyber
AV Package

14. Understand Threats & Opportunities
Long-term, change will occur
Customer needs will change
Who owns Liability?
What new exposures have been created?
Pricing
Customer Experience
Opportunities
Understand the consumer and own the experience
Engagement at all levels

15. Understand Threats & Opportunities

16. What Have We Covered Iterative Change is coming
Regulatory Structure will remain similar to what we have today
The Industry will evolve

17. Engage & Evolve Engage in the journey Connect with your customers
Engage with Partner organizations

18. Product Manager - Auto AAIS
PRESENTED BY:
Casey Brewer, CPCU
Product Manager - Auto AAIS
Thank You!