New Car Technology that has the Potential to Make Car Insurance Premiums Cheaper in Future
You might not think it but the car industry might be one of the most exciting tech industries at the moment.
From big ideas like driverless cars to small devices such as dashboard cameras, these innovations look set to change not only the way we drive – but also the way car insurance premiums could be set.
But what technologies might have the biggest impact how could they change our auto insurance costs?
Dashcams
The use of a recording camera on your dashboard might not seem like a very new, space-age idea however using one holds many benefits for you as a driver.
Having a record of what’s in front of you can come in handy in an incident. Police will generally try to work out what has happened for their reports and insurance companies will use that to assign where fault for the accident may lie.
Having a dashcam not only makes you a more credible witness for what has happened, but it may also make you more cautious.
Insurance companies may expect that users of a dashcam will be less likely to drive recklessly in case they’re involved in an accident and found to be at fault.
Many car insurance policies will not cover damage that occurs due to reckless or illegal driving, so those who use dashcams might be seen as safer drivers.
Collision avoidance systems
Another established but still developing piece of car tech is that of collision avoidance systems.
The sensors designed to help us parallel park are part of that, but cars are increasingly learning how to “see” the environment around them.
Some of the more advanced cars are able to sense objects that are in motion around you while you drive, whether they are other cars or pedestrians.
This means that inattentive drivers, or those incapacitated for whatever reason, now have an added level of safety and security in their vehicle.
Some cars are able to detect potential collisions with nearby cars and can reduce speed and stop safely to avoid contact.
Others can alert drivers to the presence of something in their blind spots as well. Cars with collision avoidance systems also stand to make a driver’s experience a lot safer.
Advanced Driver Assistance Systems
Advanced driver assistance tech also changes the driving experience for something safer.
Companies like Delphi Automotive, Google, and Tesla are testing their own versions of these systems, which include features such as adaptive cruise and headlight control, and driver alarms for drowsiness and lane departure.
Insurers are likely to see these features as risk reducing for those drivers who purchased vehicles with them installed.
Remote Vehicle Shutdown
Car maker General Motors has been using the OnStar system for a number of years now to help combat car theft.
Drivers can contact the OnStar service to alert them to their car being stolen and, using GPS technology, the car can be immobilized and its location sent back in order to recover it.
In fact, in as early as 2009 OnStar claimed to have responded to 600 stolen vehicle assistance requests, and helped in over 28,000 theft cases in total.
So how could this influence my car insurance premiums?
We know that insurance is all about risk and the more we see car technology increasing the safety in our driving experience, the less risky insuring drivers and their vehicles will become.
We’re still likely a few years away from driverless cars with touch screen windscreens and computer AI that talks back to you, but there are still a number of innovations that have already made it into our vehicles.
That said, it also means that seeing significant changes in car insurance premiums is just as far away as those future technologies are – but things are still changing!
Companies like Aviva are already offering savings to drivers who rank over a certain score in their new phone app, meaning insurers are already looking at how technology can reduce their risk, and your premiums.
In the meantime, one of the best ways to save on car insurance is to use a trusted and respected broker.
Kwiksure is one of Hong Kong’s leading brokers for vehicle insurance and has been leading the way in terms of car discussion and insurance matters.
If you’re looking for some of the most comprehensive car policies at a great price, contact our car insurance experts at Kwiksure today!
Category: Car Insurance
