Industry experts warn autonomous vehicles are creating major uncertainty around fault, liability and underwriting
Insurers and brokers are facing a growing challenge over how liability will be determined when autonomous vehicles are involved in accidents, according to speakers at the 2026 Biba Conference.
During a panel discussion on the future of motor insurance, industry experts warned the rise of self driving technology was shifting risk away from human drivers and towards software developers and vehicle manufacturers.
Jack Hoy, product manager for motor innovation at ERS, said the sector was entering “the biggest shift” motor insurance had seen in decades.
He said: “We’re shifting away from this traditional behavioural, human-led approach into more product-adjacent style risks.”
Traditionally, insurers have relied on rating factors such as age, driving history and occupation to assess motor risks.
However, Hoy explained that autonomous vehicles would increasingly require insurers to evaluate software systems, hardware performance and artificial intelligence (AI) capabilities.
“The questions are still relevant, but now they shift to things like what does the software stack look like and what does the hardware stack look like,” he said.
Who is to blame?
The panel repeatedly returned to the issue of fault attribution, particularly in situations where human drivers and autonomous systems share control of a vehicle.
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Bob Wilson, head of sales and strategy at WTW’s private claims divisions, said the industry was moving into far more complex territory.
He said: “When something goes wrong, is it the human or do we start looking at the software algorithms within the car?”
Wilson added that the increasing complexity of autonomous risks would strengthen the role of brokers in helping customers navigate changing liabilities and insurance requirements.
“This isn’t getting any simpler,” he said. “The advice clients get is going to become even more important.”
Hoy noted that under UK compulsory motor insurance rules, insurers would still be expected to compensate third parties first, even if liabilities may ultimately rest with manufacturers or software providers.
He said: “What statute sets out is that there is some right of recovery down the line.”
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