After self-driving cars, another development in automation is seen to disrupt the insurance industry – crewless ships sailing the seas in the next few years.
Engineering giant Rolls-Royce is working with government-backed groups across northern Europe to develop autonomous vessels, according to a report by the Press Association. The company is planning to release the first fleet by 2020.
Oskar Levander, Rolls-Royce vice president of innovation, said tugboats and ferries will be developed first, followed by cargo vessels which will sail across international waters.
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“The development will start in a few countries, and these flag states will give the vessel permission to operate before we have international regulations in place,” Levander told the Press Association.
Autonomous ships are expected to make waves in the maritime and insurance industries, according to Jonathan Moss, an international shipping expert and partner at insurance law firm DWF.
Moss said there has been “a lot of opportunity for Lloyd's of London and bespoke insurance products” in the maritime industry. However, this is expected to change due to the arrival of autonomous vessels.
“We will see a downturn in the popularity of those policies,” the Press Association quoted Moss as saying.
Major shipping firms are expected to adopt the emerging technology to boost profits and efficiency.
Rolls-Royce predicts that autonomous vessels could cut sea transport costs by up to 20%.
The company, which is commencing major research projects in the UK and Singapore, also believes that autonomous ships will increase demand for work in areas such as cybersecurity.
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