Insuring driverless cars in Japan

Japanese insurers, Tokio Marine & Nichido Fire Insurance, Sompo Japan Nipponkoa Insurance, Mitsui Sumitomo and Aioi Nissay Dowa, are preparing an insurance policy that is specifically adapted to the needs of autonomous vehicles. This plan will cover collision between driverless vehicles and pedestrians. It will however target only vehicles endowed with “level 3” autonomy, that is, vehicles where drivers may recover control in case of emergency.

The recourse to driverless cars will be generalized in Japan during the next decade, an evolution that is likely to improve road safety considerably. Underwriting motor third party liability insurance remains, nonetheless, compulsory for this kind of vehicles.

It is worth noting that the Japanese government has already developed the first guidelines for autonomous driving. New laws will be implemented by 2025.