The conversion to autonomous vehicles will change the amount, type, and purchase of automobile insurance. Building on the insights from KPMG’s automotive research team, our autonomous vehicle insurance task force asked: What do insurance companies think, and how prepared are they for the potential transformation precipitated by autonomous vehicles?
The following report summarizes the feedback from our survey of insurance senior executives, whose companies,
in aggregate, accounted for almost $85 billion in private and commercial auto premium. These will be the insurance leaders at the front line of change.
The survey found skepticism about the potential transformation. Few carriers have taken action—not due to doubts about the possible ramifications, but rather because most believe the change will happen far into the future, if at all. When the transformation starts to take hold, most survey respondents agreed that there will need to be major changes across all the core functions, from underwriting to claims. The executives surveyed also anticipated a shift in the insurance landscape, with traditional manufacturers and high- tech companies playing significantly bigger roles in the future. The core of this document provides an in-depth look at our full survey results.