Comment by alexpotato
16 hours ago
The most likely scenario at this point it:
- autonomous cars cause fewer accidents
- so either insurance will be cheaper for them
- AND/OR human driving car insurance goes up
- even if only one happens, the relative cost of insurance will change in favor of autonomous
- driving your own car becomes a kind of "prestige" thing where only really wealthy people do it (similar to owning your own plane etc)
> The most likely scenario at this point it:
> - autonomous cars cause fewer accidents
> - so either insurance will be cheaper for them
> - AND/OR human driving car insurance goes up
If they were going to do that, they would have done it by now for those drivers opting into the insurance monitor device: they can literally tell that you're a driver that never took a risk, never got into a situation to brake hard, never drove recklessly, etc, and yet, the insurance cost with the device is only slightly less than the insurance cost without the device.
In any case, if this was strictly a financial decision, why would the human cost go up? The larger the percentage of SDVs there are on the road, the less likely a human driver gets into an accident, their risk goes down too, so their insurance should also go down.
It's a pool. If all the drunks switch to autonomous vehicles then we all win. If all the school teachers switch to autonomous vehicles then the drunks lose.
In my own life I see the most reasonable/thoughtful drivers raving about autonomous driving and the most reckless ones ranting against it. YMMV.
exactly this
Haven't wealthy people spent most of history paying someone else to drive for them?
Driving yourself will become like horse riding, something you do on private property for sport rather than transport.
> Haven't wealthy people spent most of history paying someone else to drive for them?
My understanding is that it is a legal and safety liability for them to drive. The driver is employed by and the car is owned by a company that the wealthy person founded and pays so if the driver hits & kills someone, the company gets sued for a bunch of money then the liability can be discharged in bankruptcy / isolated to the company's coffers rather than the wealthy person's.
It's the same gambit as their security. I am sure more than just Gates and Musk do it but I know that both of them own personal security companies who only provide security to themselves. It's all just shells of liability shielding.
Maybe I’m missing something. I can’t imagine that paying a chauffeur can be cheaper than umbrella insurance.
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That's assuming people are rational with their money.
Cars already are extremely wasteful assets in terms of resource, space and money if you live in a decently served urban area. It already irrational to have one 90% of the times.
An indirect and somewhat hidden cost like insurance is unlikely to move the needle anywhere near significantly.
And the wage slaves lose even more freedom and autonomy.
If freedom is being shackled to an expensive appliance by a yearslong loan and autonomy is being trapped at home if it breaks or you lose the ability to operate it... I'll pass on both.
Using my phone to make a car show up when I need it and disappear when I don't feels like utopia.
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Well, there is the alternative that prosecution is low enough in case of accidents that insurance payouts are low and consequently insurance is low priced. Also, the majority could easily vote for price controls on car insurance like they have on home insurance.
I can easily construct arguments along the lines of “cars are necessary to drive and insurance costs are regressive since they don’t scale with income so we need to have price controls on insurance for low-income drivers”. These will be quite popular.
I expected this to happen a few years ago, but I think I was over optimistic. Now, who knows? Maybe it will finally start to make a difference.
Waymo is already self-insured so if they have an advantage it's already on their balance sheet. In California nobody is going to get a discount for having ADAS software because we encoded into the state law in the 1980s, part of a long magical thinking campaign by boomers, that insurance companies can't use that type of thing to set prices.
> so either insurance will be cheaper for them
lol
Insurance will just be bundled with the self-driving car software. Insurance and car are separate today because driver and car are separate today. Once they're the same, there's lots of money to be saved by bundling the sale.
That already is happening. https://en.wikipedia.org/wiki/Self-driving_car_liability:
In 2015, Volvo issued a press release claiming that Volvo would accept full liability whenever its cars are in autonomous mode.
[…]
Starting in September 2023 in the United States, Mercedes-Benz takes liability for the Level 3 Drive Pilot as long as the "user operates Drive Pilot as designed," but "the driver must be ready to take control of the vehicle at all times when prompted to intervene by the vehicle."
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> Once they're the same, there's lots of money to be saved by bundling the sale.
There’s a lot of money to be made. Just look at the prices for travel insurance direct from the airline versus a third party. 2-3x.
It’ll be like BMW with the heated seat subscription fee.
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> Insurance and car are separate today because driver and car are separate today.
This is an excellent point.