UK insurer first to offer discount for self-driving car tech

Tesla Autopilot

Tesla drivers in the United Kingdom have all the more reason to engage the car’s AutoPilot system when in the appropriate situation. Direct Line, a British auto insurer, will now offer a 5 percent discount on premiums for drivers who use the self-driving technology.

The system’s use is actually in Direct Line’s favor since the insurer will gain valuable data to understand how self-driving technology impacts safety, and subsequently, the price of insurance premiums. That’s correct: an insurance company wants drivers to take a break. The company told in a report published in early December that because the driver is still chiefly in charge while using AutoPilot, the procedures to insure the Model S or Model X is no different.

The discount is simply a bid to learn from the technology and understand how auto insurance will change in the future.

Early research, according to the report, showed the likelihood of a crash dropped 40 percent for drivers who regularly use AutoPilot.

Tesla has previously claimed its AutoPilot system houses fully self-driving capability, but the software required to enable it isn’t ready just yet. The statement has prompted some to scoff at the idea of self-driving technology minus the use of Lidar systems, which are not included in today’s Model S and Model X vehicles. Specifically, a GM executive called Tesla CEO Elon Musk “full of crap” over the claim.

Check Also

Volvo will use Nvidia AI chip in next-gen SPA2 platform

Volvo is the latest automaker to announce plans to integrate Nvidia's powerful Drive AGX chips in its cars. Volvo said Wednesday that Nvidia's Drive AGX Xavier chip will be the basis of the core computer that features in the next-generation SPA modular platform, which has been dubbed SPA2 and expected to offer Volvo's first fully self-driving system. The...

Toyota and Softbank form Monet mobility company, plan autonomous services

Toyota and technology investment firm Softbank on Thursday agreed to join forces in developing a new mobility company that will offer a variety of services including automated delivery and ride hailing. The new company, to be called Monet Technologies, will be established before the end of 2018 with a 50.25-percent ownership by Softbank and the remaining...