Munich Re America, Comet engage in feasibility study focused on autonomous vehicles

Munich Reinsurance America, Inc. and Comet, a developer of ground mobile robotics pilot projects, announced last week that they have commenced a “feasibility study” focused on autonomous vehicle (AV) data and market development opportunities.

Autonomous vehicles are expected to make driving safer, but they also pose new questions about risk and liability, which the feasibility study will examine, Munich Re America said in a press release.

According to the National Highway Traffic Safety Administration (NHTSA) in the United States, vehicles with automated safety controls are already on the road, incorporating such features as adaptive cruise control used in combination with lane keeping. “The NHTSA expects the number of AVs on the road to continue to increase, first as additions to existing vehicles and then as fully integrated systems,” the release said.

Potential questions around AV risk and liability include whether personal liability might shift from the driver, to product liability on the part of the vehicle manufacturer or systems provider because of mechanical or software failure.

“Autonomous vehicles are an emerging risk because they could potentially change how the public travels, how travel is regulated and the nature of transportation risk,” said Tony Kuczinski, president and CEO of Munich Re America, in the release. “We believe that AV technology offers tremendous potential to save lives, reduce accidents, provide fuel economies, and improve road efficiencies. However, there is still much to learn before society can fully harness the benefits of this technology, and it is why we are working with Comet and other public and private entities to develop business solutions for this emerging risk.”

Mike Scrudato, senior vice president, strategic innovation leader at Munich Re America noted that “in the transition to fully autonomous vehicles, there will be a variety of AV types on the road, which will add complexity in laws and law enforcement, liability and underwriting. Other risks include cyber security to protect the communications systems within and between vehicles.”

Munich Re combines primary insurance and reinsurance under one roof and operates in all lines of insurance, with more than 43,000 employees throughout the world.