On Apr. 3, 2017 NPR’s Yuki Noguchi wrote “Self-Driving Cars Raise Questions About Who Carries Insurance” Every auto insurance company will be affected by self driving cars. “Billionaire investor Warren Buffett, whose company, Berkshire Hathaway, owns the insurance giant Geico, told CNBC in a February interview: “If the day comes when a significant portion of the cars on the road are autonomous, it will hurt Geico’s business very significantly.”
If current inequality trends continue, most people will be too poor to own a car. If they need transportation they will use Uber or Lyft. They might use a traditional taxicab or car rental company that has survived the transition. Car manufacturers might even offer their cars directly. In any case, consumers will not be paying directly for insurance. If a car has an accident it will not be the passenger’s fault.
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