The underlying principle of my research group is to investigate prominent emerging risks, and translate these risks into risk pricing, risk governance, and risk framework solutions. One prominent example of an under-addressed 'emerging risk' is that of the introduction of automated and autonomous vehicles. The introduction of highly automated and autonomous vehicles to the road transport ecosystem will change the manner of collisions. They are expected to optimise the safety of road users, reducing the number of crashes and the number of injuries sustained in high-energy collisions.

 

There have been plenty of research on the safety, economic, and environmental benefits associated with the introduction of technologically advanced vehicles. One industry that does not gain (or provide) much of a discussion in this space, relative to the critical service they provide in getting these vehicles on the road, are insurers and reinsurers. This often presents a challenge, given insurers’ reactive, rather than proactive, view on risk. However, the changing risk ecosystem that will arrive along with automated vehicles will introduce new challenges and opportunities for primary insurers.

 

This research stream presents investigative research on i) how insurance practices and stakeholders can align to better facilitate the widespread introduction of automated vehicles, and ii) how insurance practices may change over time as automated vehicles represent a larger share of vehicles on the road. Our research group looks at this aspect from many perspectives, including how changing risk factors and traffic dynamics will impact on the actuarial models traditionally used by insurers, and how new business models may develop for primary insurers from a changing road environment.

RELEVANT WORKS

• Jannusch, T., David-Spickermann, F., Shannon, D., Ressel, J., Völler, M., Murphy, F., Furxhi, I., Cunneen, M. and Mullins, M. (2021) 'Surveillance and privacy–Beyond the panopticon. An exploration of 720-degree observation in level 3 and 4 vehicle automation', Technology in Society, 66, 101667. DOI: 10.1016/j.techsoc.2021.101667
• Jannusch, T., Shannon, D., Völler, M., Murphy, F. and Mullins, M. (2021) 'Cars and distraction: How to address the limits of Driver Monitoring Systems and improve safety benefits using evidence from German young drivers', Technology in Society, 66, 101628. DOI: 10.1016/j.techsoc.2021.101628
• Shannon, D., Jannusch, T., David–Spickermann, F., Mullins, M., Cunneen, M. and Murphy, F. (2021) 'Connected and autonomous vehicle injury loss events: Potential risk and actuarial considerations for primary insurers', Risk Management and Insurance Review, 24(1), 5-35. DOI: https://doi.org/10.1111/rmir.12168
• Cunneen, M., Mullins, M., Murphy, F., Shannon, D., Furxhi, I. and Ryan, C. (2020) 'Autonomous vehicles and avoiding the trolley (dilemma): vehicle perception, classification, and the challenges of framing decision ethics', Cybernetics and Systems, 51(1), 59-80. DOI: 10.1080/01969722.2019.1660541