Why very few people will drive cars once self driving cars happen.

$133 a month is the average cost of car insurance.
$1,596 a year

$57,000 a year is the average income of working Americans.
$31,000 is the average factoring in people not working.

For a full time American, car insurance should be 2.8% of their income.
For the average American, it’s 5.1%.

And that’s just the average.

Driver has an accident which was their fault?
$2,439 a year

Driver has bad credit?
$2,812 a year

Driver had a DUI?
$3,114 a year

Important thing to know here is statistically, people who’ve had accidents, have bad credit and had a DUI are more likely to be lower income or unemployed.

Car insurance can be very expensive for a large percentage of people.

And the biggest one, younger drivers.

Adding a teenager to a families car insurance plan has an increased cost of 152%.

People under 25 are one of the highest cost groups for car insurance, where in many states, it’s more expensive for that demographic to buy over people who’ve had a DUI.

Car insurance is really expensive.

Self driving cars are in a position where they will likely make it so people no longer need to buy car insurance and if damage happens, the software provider covers it.

2.2% of drivers have had a DUI.
16% of Americans have bad credit.
77% of drivers have had at least one accident.

24 million drivers are under 25.

This puts a realistic situation that people just opt for self driving and skip car insurance.