Government announces Implementation Programme for Automated Vehicles Act: What insurers need to know

The UK is taking significant steps towards integrating automated vehicles (AVs) into everyday life, with the recent launch of the Automated Vehicles Act Implementation Programme (AVAIP). This programme sets the stage for the safe deployment of self-driving vehicles on UK roads by 2027 and outlines a comprehensive framework for their regulation, trialling, and ongoing operation.

As this programme moves forward, it's crucial for insurers to stay informed and engaged in the discussion around automated vehicle regulation. In this post, we'll explore what the government's latest announcement means for insurers and why it’s vital to get involved in shaping the future of AV safety and insurance.

Key objectives of the Automated Vehicles Act Implementation Programme

The AVAIP aims to deliver several key objectives to support the safe deployment of AVs:

1. Regulatory framework development: The government is focused on establishing the necessary secondary legislation and guidance to create a robust regulatory framework for automated vehicles. This includes processes to approve and authorise AVs for use on UK roads, with a focus on maintaining the roadworthiness and safety of these vehicles once deployed.
2. Consumer protection: One of the primary goals is to ensure that only vehicles that are authorised as automated under the new framework can be marketed and sold as such. This will safeguard consumers and help create clarity in the marketplace.
3. In-use regulation: The AVAIP also includes a strong emphasis on in-use regulation, aiming to ensure the ongoing safety and security of automated vehicles once they are on the roads. This includes the development of rules for vehicle licencing, insurance, and adaptations to the Highway Code.
4. Incident investigation and data sharing: Perhaps one of the most critical areas for insurers, the programme outlines plans for an independent incident investigation framework. It is essential that the AV industry develops mechanisms to learn from incidents involving automated vehicles. Ensuring clear, reliable data sharing from AVs involved in collisions is crucial, not only for incident investigations but also for assessing liability and risk.

The need for proactive engagement

For insurers, the transition to a world with automated vehicles presents both challenges and opportunities. Proactively engaging in the AVAIP discussions, particularly around regulatory frameworks and data-sharing protocols, will be essential to ensure that the insurance sector is well-prepared to support the safe and effective operation of AVs on UK roads.

One area of focus should be advocating for the establishment of clear guidelines around the use of data from AVs, especially in the aftermath of accidents. The ability to access and share data will be fundamental for insurers to assess risks, manage claims, and determine liability.

As the government continues to refine the regulatory framework and develop guidelines for the use of automated vehicles, insurers must remain at the forefront of these discussions, contributing to the safe integration of AVs into the UK’s transport system.

Conclusion

The launch of the Automated Vehicles Act Implementation Programme marks an exciting milestone for the UK’s future transportation landscape. However, it also presents new challenges for insurers, particularly around liability, risk assessment, and the sharing of data from automated vehicles involved in collisions. Insurers must stay engaged, advocate for clear and effective regulations, and prepare their businesses for the changes that lie ahead.

The government is committed to making the UK the “trialling destination of choice” for the AV industry, and with careful planning and collaboration, insurers can ensure that the regulatory framework supports a secure, transparent, and viable market for AV-related insurance.

If you would like to discuss this topic further, please get in touch.

Natalie Larnder - Head of Market Affairs

nlarnder@keoghs.co.uk

Matthew Rogers - Head of Property Risks & Coverage and Climate & Emerging Risks SIG Lead

mrogers@keoghs.co.uk