How ADAS Technology Is Impacting The Auto Industry

By 2020, research suggests that every vehicle will be equipped with some form of ADAS (Advanced Driver-Assistance Systems) technology, with an average of 1.7 systems installed per car. The global market for ADAS, is estimated to reach touch $67 billion by 2025, growing more than 10% each year. Zimlon sheds light on the importance of ADAS tech in today's insurance landscape.


ADAS applications include a sophisticated array of LiDAR, sensors, radar, AI, and GPS, among others. According to AAA of 2018, at least one ADAS feature is available on 92.7% of new vehicles available in the US. Adoption of these technologies will make driving safer, and reduce the likelihood of a crash.


Most of the cars in the current lineup come with Autonomous Emergency Braking (AEB) systems that can notify the driver in the event of a potential collision, and step in if the driver fails to act. In research conducted by Swiss Re and HERE, ADAS can reduce the frequency of automobile accidents by up to 25% and reduce car insurance premiums by $20 billion by 2020.


In a study published by the National Highway Traffic Safety Administration (NHTSA) analyzed that the Tesla crash rates plummeted by almost 40% when drivers enabled Autosteer, the part of Autopilot that focuses solely on driving. As insurance leaders are struggling to cope with the changing dynamics of driver-assist tech and fully autonomous vehicles, it is clear this technology will only become more sophisticated. Moreover, since insurance is a data-driven enterprise and there isn't as much data to back up most of the claims, giving them time for the eventual transition.



Cameras- With the help of visual inputs provided by cameras, they can recognize texture, detect traffic signs, object detection, and build a 3D map of the surrounding for the car. Images captured are then analyzed by supporting software, and based on that information, it initiates a response to improve safety.



Radar- One of the key advantages of radar is that it works seamlessly regardless of lighting conditions. A lot of innovation has been recently going on to improve the resolution by developing 77-81GHz imaging radar systems.



Lidar- It can capture an active 3D map of the areas surrounding a car with superior resolution. The angle of resolution for a lidar system is 0.1°, and the range accuracy is better than radar, about 5cm or less.



Connectivity- Wireless networks are playing a critical role in connecting vehicles with external networks. Wireless options provide much flexibility to essential systems like tire-pressure monitoring and anti-lock braking systems and standard automotive communications protocols.