Insurance Post, working in conjunction with National Windscreens, has completed a major research project on Advanced Driver Assistance Systems (ADAS), covering the impact and likely ramifications of this developing technology for the insurance sector. The research follows up on a similar project undertaken early in 2017 and looks at the progress made in the sector in terms of awareness, understanding and reaction to this technology.
The findings, published in a special feature within Insurance Post this month, explores if the insurance sector is now well positioned to deal with this rapidly growing technology. The results show that there is still a long way to go.
One topic of the research highlights a lack of information from manufacturers’, meaning insurers had hesitant responses in adjusting vehicle insurance premiums in relation to ADAS technology.
The report states:
“Only 46% of respondents said they expected premiums to decrease with the installation of ADAS technology, 38% felt premiums would stay the same and 6% even felt that they would increase.”
Insurers cannot shift all the blame for their hesitant responses to ADAS to the manufacturers, says Pete Marsden, managing director of National Windscreens: “There is a lack of development in insurers’ understanding of ADAS. There is a feeling in the insurance community that it is driverless vehicles they need to think about, but they are probably 10 to 20 years away. It is the here and now they need to think about.”
Pete accepts that the lack of consistent information from manufacturers about what ADAS technology is being installed in the cars they sell doesn’t help insurers. He acknowledges the need for a coordinated database but challenges insurers to do more to create it.
“There is a lack of understanding of what features are in what models and there is frustration about the lack of information coming out of manufacturers. The insurers are not doing enough about it but the aftermarket is. It seems unlikely that anyone will create a central database but at National Windscreens we have been able to build up a comprehensive database of our own.” Says Pete.
The report also explores implications of the complexity of repairs involving this technology; the lack of awareness amongst drivers regarding the need for ADAS camera calibration following windscreen replacement or accident damage; and the role of the aftermarket in fulfilling these repair, replacement and calibration requirements.
Read and download the full report at Insurance Hound