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Autonomous vehicles could lose jobs in insurance


Andrea Lubeck

January 30, 2018 09:45

Among the potential problems posed by the arrival of autonomous vehicles on the canadian market, we account for the loss of jobs to insurance agents and auto insurance representatives car, according to a report by the standing senate Committee on transport and communications. The study, commissioned by the minister of Transport Marc Garneau, is based on 78 evidence heard in the context of a panel on autonomous vehicles.

In addition to the jobs mentioned, the study says that employment of truck drivers and couriers, taxi drivers, bus and snow thrower, driving instructors, tow truck drivers and workshop staff of auto repair, in particular, could also be lost.

Socio-economic landscape upset

«Disruptive technologies such as autonomous vehicles and the vehicles connected to changes in the socio-economic landscape and are, everywhere in the world, the source of the concerns regarding the loss of jobs and economic inequality «, cites the report.

«Although its effects on the canadian economy are not fully known, the revolution of autonomous vehicles «could cause job losses in sectors or areas which employ more than 1.1 million Canadians,» » can it be read there. However, the senators qualify their remarks by stressing that the losses would be offset by the changes in the duties of the jobs concerned.

Changes in auto insurance

The study explains that the impending arrival of autonomous vehicles will result in changes to contracts, pricing, distribution and claims processing in the automobile insurance industry. Ryan Stein, director of policy for the insurance Bureau of Canada, testified of the different factors that contribute to these changes, in the framework of consultations on the subject.

Mr. Stein pointed out that the integration of autonomous vehicles could lead to a decline in the number of collisions, » but that the costs associated with recent increase «. He also cited data from the consulting firm KPMG predicting a fall of 35 % to 40 % of the collision rate and an increase of 25 % to 30 % of the cost of repairs over the next ten years.

To whom is the responsibility ?

Other stakeholders have raised the issue of liability in the event of an accident, according to the study. For its part, The insurance Institute of Canada explained that «human error is the main cause of collisions since the advent of motorized vehicles,» and that, therefore, » the laws and procedures of insurance «is based on the assumption of an error of the driver» «.

«In the long term, this calls into question the responsibility of the driver, which could be fully transferred to the constructor when the automated vehicles will become the predominant mode of transport used «, move on to the senators.

Read a full account of the report in the next edition of the Journal of the insurance.

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