Global Automotive Insurance and Safety Updates: Trends, Technology, and Recalls

UK: Car Insurance: Privacy Concerns Stall Uptake When it Comes to Black Boxes

New research shows that privacy fears are stopping many UK drivers—especially under-25s—from taking up Usage-Based Insurance (UBI), despite potential savings of over £1,100 a year. UBI, once known as “black box” insurance, now mainly uses smartphone apps to track driving habits like speed, mileage, and time of travel. A survey of 5,000 motorists found over half were reluctant to share data, with 62% worried about location tracking. Experts argue that until insurers are more transparent about how data is collected, stored, and used, UBI will remain a niche product.

UK: TfL proposals tackle ‘unfair’ insurance gap between London pedicabs and taxis

Transport for London (TfL) is proposing mandatory insurance for pedicab drivers to close the gap with taxi insurance costs and enhance passenger safety. Currently unregulated, pedicabs in London could be required to meet safety, maintenance, and professional standards under the new rules. TfL aims to protect customers and ensure a fairer system for all road users. The proposal addresses concerns over high insurance costs for taxis compared with uninsured pedicabs.

Italy: How ADAS systems are transforming automotive safety

Advanced Driver Assistance Systems (ADAS) are increasingly standard in new vehicles, improving safety and reducing fatal collisions. Level 2 systems are currently the most common, accounting for 40% of global vehicle sales in 2024, projected to reach 62% by 2032, with significant regulatory mandates in Europe and the U.S. The rise of ADAS will also reshape repair and calibration services, as more vehicles with cameras and radar sensors require precise recalibration after collisions, raising repair costs and demanding new tools and training for workshops. OEMs are expanding ADAS capabilities across mass-market and luxury models, while insurers and fleet managers must adapt pricing and risk assessments to account for both reduced accidents and higher repair complexity. Overall, integrating ADAS shifts the balance of vehicle lifecycle costs and safety benefits, emphasizing technology-driven maintenance and policy planning.

Mexico: Total vehicle losses due to material damage increase by 18%

In Mexico, total losses from vehicle damage rose 18% in 2024, with insurers handling 129,279 cases and paying 24.9 billion pesos, 68% more than for total vehicle thefts. Repairs are increasingly costly due to scarce parts, especially for Asian and electric vehicles, often leading insurers to declare cars a total loss when repair costs exceed 50–65% of the vehicle’s value. While insurers usually manage repairs, in 40% of cases, especially for trucks or public service vehicles, owners receive funds to source parts themselves. The process requires standard documentation, and insurers typically settle claims within two weeks. This trend highlights rising repair costs and supply challenges in the auto insurance market.

Germany: Fire hazard: Huge recall of several car brands

Stellantis is recalling nearly 760,000 vehicles worldwide, including over 85,000 in Germany, due to a faulty fuel line connection that poses a fire risk. The recall affects multiple brands, including Opel, Peugeot, Fiat, Citroën, DS, Lancia, and Alfa Romeo, across various models produced between 2022 and 2025. The issue involves an improperly secured high-pressure fuel line that could leak and ignite if it contacts hot engine parts. Vehicle owners will be notified by the manufacturer and can also check using their VIN via the manufacturer’s service portal or the KBA database. Repairs at authorized workshops will secure the fuel line to prevent leaks.