May 14, 2013

There's been a somewhat lively debate in the insurance industry recently about whether technological advances in cars might mean the end of auto insurance as we know it sooner rather than later. After all, if crashes are largely mitigated, why would robust insurance cover be needed?

Well, a report out of Canada proves that there is always some new vector of risk in personal transportation. A "flying car" crashed into a tree in British Columbia, injuring two people.

According to a CBC report:

The vehicle, known as "Maverick," uses a 100-metre runway to take off and flies under a parasail. But it also needs a 100-metre runway to make a safe landing.

According to the manufacturer's website, the car can travel at speeds up to 160 kilometres per hour on land and up to 65 kilometres per hour in the air. It costs at least $94,000 to purchase, according to the site.

There's some cool videos of the vehicle in the article. The question for insurers is what's closer: Autonomous cars that avoid collisions with each other, or widespread adoption of flying personal vehicles? What would you say if a customer called and tried to add this to their policy?

ABOUT THE AUTHOR
Nathan Golia is senior editor of Insurance & Technology. He joined the publication in 2010 as associate editor and covers all aspects of the nexus between insurance and information technology, including mobility, ...