Autonomous Vehicle-Only Car Insurance Launching from the End of This Month

[Asia Economy Reporter Oh Hyung-gil] From this month, dedicated auto insurance for autonomous vehicles will be introduced.

On the 17th, the Financial Services Commission announced that it has developed a special policy product exclusively for autonomous vehicles used for business purposes, reflecting the amendments to the Motor Vehicle Liability Act to be implemented this October.

The insurance covers accidents caused by malfunctions of the autonomous driving system or autonomous driving cooperation system while operating in autonomous driving mode, resulting in operation different from the original function, as well as accidents caused by remote access or intrusion into the system.

Additionally, the insurance terms clarify compensation for traffic accidents occurring during autonomous driving mode, stating that the insurer will compensate first in case of an accident and then seek recourse from the vehicle manufacturer if a defect in the autonomous vehicle is found. The policy also specifies the vehicle owner's obligation to cooperate in accident cause investigations.

The premium is 3.7% higher than the current business-use auto insurance premium, considering the added risks such as system defects or hacking. No premium surcharge will be applied in the following year for no-fault accidents involving the operator.

The insurance being launched this time is for business use; personal-use insurance will be reviewed considering trends in the release of personal autonomous vehicles.

A Financial Services Commission official stated, "From the end of this month, 12 non-life insurance companies will sell special policies exclusively for business-use autonomous vehicles," adding, "We plan to operate business-use special policies to collect statistics and, considering trends in the release of personal autonomous vehicles, promote the development of personal autonomous vehicle insurance products within next year."

This content was produced with the assistance of AI translation services.