As Tesla pilots self-driving cars, auto insurance may become obsolete

As Tesla pilots self-driving cars, auto insurance may become obsolete

The phrase “asleep at the wheel” could soon lose all meaning as Tesla and other automakers push self-driving cars closer to reality.

CEO Elon Musk says select Tesla drivers could get their hands on “full self-driving” software as early as Oct. 9.

The upgrade won’t make the cars truly autonomous, but Musk dreams that one day people will safely fall asleep on their way home in a Tesla.

That raises an obvious question: If a self-driving car does crash while you’re snoozing, what happens? Who is at fault? You? The car’s manufacturer? No one?

The answer could radically disrupt the insurance industry, potentially making some forms of auto insurance obsolete and saving drivers hundreds of dollars a year.

Self-driving cars are on the horizon

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