U.S. Property/Casualty Insurance Sector View Improves  December 3rd 2024

Good News on Traffic Deaths

Fatalities fell in more than a dozen categories in the first six months of this year. Urban interstate crashes fell 8% in the six-month period.

Traffic fatalities fell in nearly all categories in the first half of 2024, according to a breakdown of data compiled earlier this year that showed an overall drop in the number of deaths on U.S. roads.

Deaths across 14 categories, from speed-related crashes to pedestrian fatalities, fell during the period, according to National Highway Traffic Safety Administration data.

The biggest decrease came in road deaths during travel across state lines, which fell 12%, the federal agency said. Pedestrian deaths, which have been growing at a fast pace in recent years, fell the least, by 3%.

Fatality volume also fell in the following categories:

• Ejected passengers (9%)
• In urban interstate crashes (8%)
• Passenger-vehicle occupants younger than 10 (7%)
• Unrestrained occupants of passenger vehicles (7%)
• Passengers on the whole (7%)
• Rollover crashes of passenger vehicles (6%)
• Passenger-vehicle occupants (6%)
• Speed-related crashes (6%)
• Crashes on rural and urban collector/local roads (5%)
• Road-departure crashes (5%)
• Nighttime crashes (4%)
• Weekend crashes (4%)

Progressive launches new in-app feature to detect major accidents

Progressive Insurance has launched a new safety feature, called Accident Response, to connect policyholders with emergency or tow services.

The insurance company notes in a press release that the availability of the feature coincides with the approaching winter season when drivers are met with additional road hazards.

According to the Federal Highway Administration, 70% of U.S. roads are located in snowy areas prone to conditions that reduce vehicle maneuverability and increase the risk of a crash. More than 116,800 people are injured in vehicle crashes on snowy, slushy, or icy pavement each year, and nearly 76,000 in crashes during snowfall or sleet.

“With driver safety and innovation at the heart of Progressive’s offerings, Accident Response provides personal auto customers using the Progressive app with an added layer of protection,” the release says. “The optional feature within the app uses phone sensors to detect when a customer may have been in a major accident.

“If a crash is detected, Progressive will reach out to the driver to see if help is needed. The driver can then quickly and easily request emergency services or a tow truck through the app or with a live agent. If they don’t respond, and the accident appears severe, emergency services will be dispatched to the crash location. If tow or emergency services are requested, Progressive will automatically submit a claim on the customer’s behalf.”

Car crash prevention technology shows 'huge potential'

Automatic emergency braking is the kind of feature most drivers hope they never have to use.

But if you want to see it in action, there's a place in central Virginia where test drivers push these systems to their limits all the time.

A driverless cart collides with the side of a vehicle during crashworthiness testing at the Insurance Institute for Highway Safety in Ruckersville, Va.

As cars and trucks get bigger and taller, lawmakers look to protect pedestrians

"What we're going to do here is I'm going to drive at the target, maybe act like a distracted driver that maybe doesn't see it," said David Aylor, vice president for active safety testing at the Insurance Institute for Highway Safety.

Nearly a decade ago, IIHS built a special outdoor testing lab at its campus here to test how these crash prevention systems perform in real-world conditions. To demonstrate how it works, Aylor gets behind the wheel of a Mercedes-Benz SUV. He steers the car directly at a life-size dummy and accelerates steadily.

But suddenly, the car slams to a halt — stopping a few feet in front of the dummy.

A few years ago, Aylor says only a handful of automatic braking systems earned his team's top rating. Now many do. These systems tend to perform worse at night, he says, but even that is getting better as cameras improve.

"We've seen in our testing over the last four or five years pretty big improvements in the performance of the vehicles," Aylor said. "So I think this technology has huge potential."

IIHS built a special outdoor facility at its campus in central Virginia to test crash prevention technology, including pedestrian detection systems.

Drivers With Poor Credit Scores Pay Up To 216% More For Car Insurance In These 10 States

You probably know that at-fault accidents and traffic tickets increase your car insurance premiums. It's easy to see why: If you're taking risks behind the wheel, you're more likely to get into accidents, which means you're more likely to file claims your insurer will have to pay.

But few people would guess just how big an effect your credit score has on your car insurance premiums. It can more than double your annual premiums in 27 states, and some drivers pay an even steeper price.

The 10 states that penalize drivers with poor credit scores the most Insurers argue that poor credit, which often indicates risky financial behavior, goes hand in hand with risk-taking behind the wheel. This is why most states permit insurers to charge higher premiums to drivers with low credit scores. For context, a low credit score is usually considered one between 350 and 579, while an excellent score is between 800 and 850.

Every state and insurer has its own rules, which is why you see different increases everywhere. Here's a closer look at the states that charge the 10 highest average penalties for drivers with poor credit:

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