According to Business Insider, Tesla will be launching a customized insurance plan for owners of its vehicles. The new program is underwritten by large global insurers and plans are in place to expand beyond their launch markets of Australian and Hong Kong. Are we going to see a day when insurance comes with the vehicle? Volvo has also publically stated it is planning to cover the liability of all their cars when preforming driving duties in autonomous modes. In that case, what will the customer pay? Are vehicles going to be so unique that they’ll require specialty insurance or the reverse they’ll become so similar and safe that one policy will cover them all regardless of the driver?
Announcements like this and innovations in the auto sector are increasing at an amazing rate. Almost every article, including the one referenced in this post, points out the potential impact to auto insurance with every advancement in vehicle safety and autonomous technology.
Personal lines Brokers have served customers well for decades when it has come to their auto insurance needs, however, if I was doing a 10-year strategic plan for my brokerage I’d being thinking about one thing; “Diversity of revenue.”