Level 3 Autonomous Vehicles Will Cause Insurance Confusion Across Canada

Background. In 2022, vehicles equipped with SAE Level 3 autonomous technology will be on Canada's roads. Level 3 technology is conditional automation, where the vehicle drives itself under limited circumstances but the human driver must be ready to resume driving at any time. Drivers will be allowed to use the technology, but the question remains: when something goes wrong, whose responsibility is it?

Current legislation, which is different for each province, doesn't adequately consider accidents involving Level 3 automation. The Insurance Bureau of Canada recommends a single policy approach, where one policy insures both driver negligence and the automated technology, but each province and territory has jurisdiction to develop its own highway traffic laws and insurance regime. This could leave Canada with a confusing patchwork of motor vehicle insurance regulations and liability across the country.