Self-Driving Car Insurance - Global Strategic Business Report

The global market for Self-Driving Car Insurance was valued at US$27.4 Billion in 2024 and is projected to reach US$59.8 Billion by 2030, growing at a CAGR of 13.9% from 2024 to 2030. This comprehensive report provides an in-depth analysis of market trends, drivers, and forecasts, helping you make informed business decisions. The report includes the most recent global tariff developments and how they impact the Self-Driving Car Insurance market.

Global 'Self-Driving Car Insurance' Market - Key Trends & Drivers Summarized

Will Autonomous Vehicles Reshape Traditional Auto Insurance Forever?

As the era of autonomous vehicles (AVs) dawns, the auto insurance industry is undergoing a seismic shift. Self-driving cars, equipped with advanced sensors, AI decision-making systems, and predictive analytics, significantly reduce human error - historically the primary cause of accidents. This evolution is challenging existing risk assessment models, liability frameworks, and premium structures. Traditional auto insurance, which evaluates driver behavior and demographics, is becoming obsolete in a world where the “driver” might be an algorithm. With OEMs and software developers now sharing responsibility for AV operation, insurers must redefine policy structures to cover hardware failures, cybersecurity breaches, and software malfunctions. In response, new insurance models such as product liability coverage and usage-based policies are gaining traction. The integration of telematics and real-time vehicle diagnostics is enabling insurers to offer dynamic, data-driven premiums. Meanwhile, regulatory uncertainty around AV classifications and responsibilities is adding complexity, prompting insurers to partner with AV developers for data access and co-develop insurance frameworks. The shift is not just technical - it’s philosophical, redefining how risk is distributed across entities involved in autonomous mobility.

How Are Tech Partnerships and Data Access Revolutionizing Insurance Models?

Data is the lifeblood of the emerging self-driving car insurance ecosystem. AVs generate vast volumes of data - from lidar scans and GPS paths to decision-making logs and incident replays. This data enables granular risk profiling and real-time accident analysis, fundamentally transforming claims processing and fraud detection. Insurtech firms and traditional insurers alike are forging partnerships with AV developers and fleet operators to gain access to this critical information. These collaborations are giving rise to embedded insurance models, where coverage is integrated directly into the vehicle’s purchase or subscription. Moreover, blockchain technology is being explored to securely store and share vehicle data across stakeholders, ensuring transparency and accountability. API-driven ecosystems are also facilitating interoperability between insurers, OEMs, and mobility platforms. Machine learning algorithms are being used to analyze behavioral and operational metrics to underwrite highly customized policies. These innovations are replacing traditional actuarial models with real-time, dynamic underwriting engines. As a result, insurers capable of adapting to this new data paradigm are emerging as key players in the evolving mobility landscape.

What Legal and Regulatory Dynamics Are Steering This Disruptive Market?

The regulatory environment surrounding self-driving car insurance is still in its formative stages but is evolving rapidly to accommodate the unique risks and responsibilities associated with autonomous driving. Key issues include defining legal liability in mixed-traffic environments, establishing data ownership, and regulating the insurance obligations of AV manufacturers versus end-users. Countries like the U.S., Germany, and Japan are pioneering new frameworks that mandate minimum insurance coverage for AVs while also addressing product liability implications. In many regions, autonomous test vehicles are required to maintain dual insurance coverage - traditional and tech-specific - until clear regulations are established. Furthermore, regulators are emphasizing cybersecurity coverage, given the increasing threat of vehicular hacking and data breaches. Standardization bodies are working to create safety benchmarks and testing protocols that insurers can use to calibrate premiums. These developments are encouraging collaboration between public institutions, tech firms, and insurers to shape a cohesive regulatory landscape. Legal scholars and insurance experts are also advocating for no-fault liability systems to simplify claims and litigation in autonomous incidents.

The Growth In The Self-Driving Car Insurance Market Is Driven By Several Factors

The rise of self-driving car insurance is propelled by advancements in AI, increased AV adoption, changing liability structures, and evolving consumer expectations. Technologically, improvements in real-time diagnostics, vehicle-to-everything (V2X) communication, and machine learning risk assessments are enabling more precise, data-centric underwriting. The growing deployment of AV fleets in urban environments - particularly for ride-hailing, delivery, and logistics - is creating demand for commercial autonomous insurance packages. On the consumer side, the shift toward mobility-as-a-service and subscription-based car ownership is leading to demand for bundled, flexible insurance offerings. Moreover, regulatory evolution and pilot programs are laying the groundwork for mandatory AV insurance protocols. Collaborations between AV developers, insurers, and regulators are enhancing market trust and enabling scalable insurance models. Finally, increased investment in insurtech startups and strategic partnerships is accelerating innovation in this space. As AV technology becomes more widespread and public confidence grows, the self-driving car insurance market is expected to experience exponential growth, redefining the role of insurance in future mobility ecosystems.

Report Scope

The report analyzes the Self-Driving Car Insurance market, presented in terms of market value (US$ Thousand). The analysis covers the key segments and geographic regions outlined below.

Segments: Insurance Coverage (Third Party Liability Coverage, Comprehensive Coverage); Distribution Channel (Independent Agents / Brokers, Direct Sales, Other Distribution Channels); Application (Personal, Commercial).

Geographic Regions/Countries: World; United States; Canada; Japan; China; Europe (France; Germany; Italy; United Kingdom; Spain; Russia; and Rest of Europe); Asia-Pacific (Australia; India; South Korea; and Rest of Asia-Pacific); Latin America (Argentina; Brazil; Mexico; and Rest of Latin America); Middle East (Iran; Israel; Saudi Arabia; United Arab Emirates; and Rest of Middle East); and Africa.

Key Insights:

• Market Growth: Understand the significant growth trajectory of the Third Party Liability Coverage segment, which is expected to reach US$36.4 Billion by 2030 with a CAGR of a 12.3%. The Comprehensive Coverage segment is also set to grow at 16.7% CAGR over the analysis period.
• Regional Analysis: Gain insights into the U.S. market, valued at $7.5 Billion in 2024, and China, forecasted to grow at an impressive 18.3% CAGR to reach $12.6 Billion by 2030. Discover growth trends in other key regions, including Japan, Canada, Germany, and the Asia-Pacific.

Why You Should Buy This Report:

• Detailed Market Analysis: Access a thorough analysis of the Global Self-Driving Car Insurance Market, covering all major geographic regions and market segments.
• Competitive Insights: Get an overview of the competitive landscape, including the market presence of major players across different geographies.
• Future Trends and Drivers: Understand the key trends and drivers shaping the future of the Global Self-Driving Car Insurance Market.
• Actionable Insights: Benefit from actionable insights that can help you identify new revenue opportunities and make strategic business decisions.

Key Questions Answered:

• How is the Global Self-Driving Car Insurance Market expected to evolve by 2030?
• What are the main drivers and restraints affecting the market?
• Which market segments will grow the most over the forecast period?
• How will market shares for different regions and segments change by 2030?
• Who are the leading players in the market, and what are their prospects?

Report Features:

• Comprehensive Market Data: Independent analysis of annual sales and market forecasts in US$ Million from 2024 to 2030.
• In-Depth Regional Analysis: Detailed insights into key markets, including the U.S., China, Japan, Canada, Europe, Asia-Pacific, Latin America, Middle East, and Africa.
• Company Profiles: Coverage of players such as Adrian Flux Insurance Services, Allianz SE, Driveway Software, Ford Motor Company, GEICO and more.
• Complimentary Updates: Receive free report updates for one year to keep you informed of the latest market developments.

Some of the 41 companies featured in this Self-Driving Car Insurance market report include:

• Adrian Flux Insurance Services
• Allianz SE
• Driveway Software
• Ford Motor Company
• GEICO
• General Motors
• INSHUR
• Intact Financial Corporation
• Liberty Mutual Insurance
• Mobileye
• Nissan Motor Corporation
• Octo Telematics
• Progressive Corporation
• Sompo Japan Insurance
• Tesla, Inc.
• Travelers Companies, Inc.
• TuSimple
• Volkswagen Group
• Waymo LLC
• Zurich Insurance Group

Tariff Impact Analysis: Key Insights for 2025

Global tariff negotiations across 180+ countries are reshaping supply chains, costs, and competitiveness. This report reflects the latest developments as of April 2025 and incorporates forward-looking insights into the market outlook.

The analysts continuously track trade developments worldwide, drawing insights from leading global economists and over 200 industry and policy institutions, including think tanks, trade organizations, and national economic advisory bodies. This intelligence is integrated into forecasting models to provide timely, data-driven analysis of emerging risks and opportunities.

What's Included in This Edition:

• Tariff-adjusted market forecasts by region and segment
• Analysis of cost and supply chain implications by sourcing and trade exposure
• Strategic insights into geographic shifts

Buyers receive a free July 2025 update with:

• Finalized tariff impacts and new trade agreement effects
• Updated projections reflecting global sourcing and cost shifts
• Expanded country-specific coverage across the industry