Trucking and Self-Driving Trucks

Self-driving cars, and trucks, could hit the roadways soon. Or maybe not that soon. If Uber has its way it may be sooner than you think.

Last month ride service Uber Technologies Inc. acquired the self-driving truck startup Otto, while also entering into a $300 million alliance with the Volvo Car Group to develop self-driving cars.

So far Otto has tested self-driving trucks for highway use only. Uber developers hope for further productivity gains with new technology that will enable trucks to drive around the clock, leaving humans to rest, do paperwork and take controls only while going on and off highways.

How would self-driving trucks change the market for truckers? Some insurance experts remain skeptical and say implementation is years away.

“I think everybody is interested in learning more about the concept of self-driving vehicles and trucks but the trucking industry is skeptical. There is so much hands-on stuff that happens in trucking,” said Courtney M. Wilson, president, First Guard Insurance Co./1st Guard Corp. “Humans are an important part of the puzzle.”

From an insurance standpoint, there’s no clear answer on who’s insuring what, Wilson added. “We don’t know if the driverless truck would require commercial auto coverage or would it be product liability? There’s still plenty of unknowns.”

Right now Wilson’s trucking customers do not seem to embrace the idea of using driverless vehicles in their trucking fleets. “I don’t think they like the idea because it could potentially put them out of business.”

Steve Bojan, vice president of HUB International’s transportation risk services, says that even if the industry moves to using driverless trucks, the truck would still need an operator.

But Matt Domitrovich, senior vice president and transportation team leader at Worldwide Facilities LLC, thinks jobs will be lost if driverless trucks do hit the roads. “It would be a huge change to the industry and other industries,” he said.

Domitrovich doesn’t expect any change soon, however. “It could happen but certainly not in the next five years.”

Brenda Watson, president of TIP National based in Oklahoma City, Okla., says the possible benefits of driverless trucks have yet to be determined. That’s not to say technology isn’t improving the trucking industry already.

Technology, such as vehicle tracking, video monitoring systems and speed limiting devices, do make much better and safer fleets, Watson said. “Those trucking lines that are profitable are doing well because they know what they are doing and are using IT solutions to help their bottom line.”