Canadian insurers publish automated vehicles position paper

Insurance Bureau of Canada (IBC) has released a position paper on insurance for automated vehicles, setting out recommendations for updating provincial insurance laws and federal vehicle safety standards.

"Automated vehicles are coming to Canada’s roads, and the laws that govern insurance and vehicle safety need to be updated to reflect this reality"

Don Forgeron, IBC

The paper – Auto Insurance for Automated Vehicles: Preparing for the Future of Mobility – was released at the IBC’s annual Regulatory Affairs Symposium in Toronto and was developed over the last two years by auto insurance experts, informed by input from a panel of legal advisors.

The paper recommends three steps needed to prepare for automated vehicles on Canadian roads:

  • Establishing a single insurance policy that covers driver negligence and automated technology malfunctions to facilitate liability claims;

  • Establishing a data-sharing arrangement between vehicle manufacturers and vehicle owners and/or insurers, to help determine the cause of a collision; and

  • Updating Canada’s federal vehicle safety standards to address new technology and cyber security standards.



“Automated vehicles are coming to Canada’s roads, and the laws that govern insurance and vehicle safety need to be updated to reflect this reality,” said IBC President and CEO Don Forgeron.

“We need changes to the provincial insurance laws across the country to ensure that collision victims continue to be compensated in a timely manner.”

 
Insurance Bureau of Canada infographic – auto insurance for automated vehicles

Insurance Bureau of Canada infographic – auto insurance for automated vehicles

 

At the moment, Canadian provincial auto insurance laws are built on the notion that human error is the primary cause of collisions.

As carmakers develop plans to bring automated vehicles to market, IBC is asking governments across Canada to update relevant laws to prepare for automated vehicles.