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Understanding the new laws around automatic emergency braking

What it means for your

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By Susan Meyer Info icon
Updated October 16, 2024
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Susan Meyer

Senior Editorial Manager

Susan is a licensed insurance agent and has worked as a writer and editor for over 10 years across a number of industries. She has worked at The Zebr…

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  • Licensed Insurance Agent — Property and Casualty
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Ross Martin

Insurance Writer

Ross joined The Zebra as a writer and researcher in 2019. He specializes in writing insurance content to help shoppers make informed decisions.

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  • 5+ years in the Insurance Industry
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  1. What is AEB?
  2. New laws mandating AEBs
  3. Are existing cars affected?
  4. AEBs and insurance

From seat belts to airbags, since the invention of the automobile, there have been continued advancements in vehicle safety technology. Many of these advancements have become required by law and led to huge reductions in accident fatalities. 

In April of 2024, the U.S. Department of Transportation’s National Highway Traffic Safety Administration (NHTSA) finalized a new law that will make automatic emergency braking (AEB) standard on all passenger cars and light trucks. This will be effective by September 2029.[1]

The NHTSA projects that this new standard for vehicle safety will save at least 360 lives a year and prevent at least 24,000 injuries annually. So what are AEB systems? And how will these new laws affect vehicles already on the market? Finally, what impact will this have on car insurance?

What is automated emergency braking?

Automated emergency braking (AEB) is a safety system designed to help prevent or mitigate collisions. The technology uses sensors, cameras or radar to detect obstacles, such as vehicles, pedestrians or cyclists in a vehicle’s path.

When the system determines that a collision is imminent, it automatically applies the brakes to slow or stop the vehicle, even if the driver does not react in time. This system can significantly reduce the severity of an accident or even prevent it entirely.[2]

AEB systems typically operate in two stages:

  1. Collision warning: The system alerts the driver to a potential hazard with audible, visual or tactile warnings (such as steering wheel vibrations).
  2. Automatic braking: If the driver fails to take corrective action, the system engages the brakes automatically to avoid or reduce the impact of a collision.

New laws mandating AEB in vehicles

In the United States, the National Highway Traffic Safety Administration (NHTSA) has passed regulations that will require all passenger vehicles and light trucks to be equipped with AEB technology by 2029. 

The rationale behind these laws is clear: studies show that AEB systems can significantly reduce rear-end collisions, which are among the most common types of crashes. The Insurance Institute for Highway Safety (IIHS) estimates that AEB can prevent or mitigate about 40% of rear-end collisions, saving lives and reducing injury rates.[3]

The new standard requires all cars traveling at up to 62 miles an hour to be able to stop and avoid hitting a vehicle in front of them. The systems are also required to detect pedestrians in darkness, as well as daytime. In addition, the standard requires that the system apply the brakes automatically when the vehicle is traveling at up to 90 mph when a collision with another car is imminent, and up to 45 mph when a pedestrian is detected.

Are older cars affected by the new laws?

While these new laws will impact all new vehicles, older cars are generally not required to have AEB retrofitted. This means that if you currently drive a car that does not have an AEB system, you are not legally required to install one.

However, drivers of older cars may choose to install aftermarket collision avoidance systems, though these are not as comprehensive as factory-installed AEB systems.

The focus of the legislation is on future vehicles to ensure that AEB becomes a standard safety feature, much like seat belts and airbags did in the past.

What's the impact on insurance?

Will the widespread adoption of AEB technology lead to any changes in auto insurance? It might seem like it should. Insurance companies calculate premiums based on risk, and vehicles equipped with advanced safety features, such as AEB, can reduce the likelihood and severity of accidents. However, often the presence of safety features like AEB don’t lead to noticeably lower premiums. 

On the other hand, the repair costs for AEB-equipped vehicles can be higher due to the complexity of the technology, particularly if sensors or cameras are damaged in an accident. This could lead to higher repair bills, although the overall reduction in accident frequency may offset this.

Over time, as AEB technology becomes the standard in new vehicles, it’s possible, we may see a greater shift toward premium reductions for cars with advanced safety features. Or rather people still driving vehicles that don’t have this technology may see higher rates as they become the minority. 

Looking into the future

As AEB becomes a standard feature in more vehicles, we can expect a safer driving environment with fewer rear-end collisions and lower injury rates. While older cars are not affected by the new laws, it’s clear that future vehicles will prioritize safety technologies like AEB. For drivers of newer vehicles, this may or may not result in lower insurance costs, though it's also worth keeping an eye on the potential rise in repair costs for advanced safety systems.

For consumers, the key takeaway is that the introduction of AEB laws represents a positive shift in road safety. Whether you are purchasing a new car or assessing your insurance needs, it’s worth considering the impact that automated emergency braking technology may have in making roads safer for everyone.

Sources

  1. NHTSA Finalizes Key Safety Rule to Reduce Crashes and Save Lives. [NHTSA]

  2. What is AEB and how does it work? [WhatCar]

  3. Autobrake slashes rear-end crash rates for pickups. [IIHS]