The vision of autonomous vehicles (AVs) making our daily travel easier is quickly becoming a reality. The first commercial autonomous ride-hailing service are already starting in the United States and in China. However, bringing these advanced vehicles to mass production remains a major challenge.
One of the biggest issues is the complicated and inconsistent regulatory landscape. Rules differ widely from country to country. Even within the United States, the approach varies: for example, Texas is more business-friendly and gives companies more freedom, while California puts more emphasis on safety and has stricter regulations for these services.
Other challenges include high development costs, unanswered questions about who is responsible in the event of an accident, how insurance will work, and how data will be handled. These factors make it hard for the industry to move forward quickly.
To help address these challenges, CMS has updated its review of the legal rules for AVs at SAE Levels 2–4 in different countries. Our new Expert Guide breaks down the latest research and expert opinions into clear, practical questions and key findings. This guide is designed to help individuals and businesses better understand this fast-changing area.
Scope of the Update
The latest edition retains the global coverage of earlier versions while refining the focus to address the issues that businesses tell us matter most at the current stage of market readiness. Each country chapter now answers the following core questions:
- What is the present legal basis for testing, deploying or otherwise operating AVs (SAE Levels 2–4) on public roads?
- Which liability and insurance models apply when an automated driving system contributes to—or is alleged to have caused—damage, injury or loss?
- How is data generated or processed by AVs regulated, with particular regard to privacy, cybersecurity and vehicle-to-everything (“V2X”) connectivity?
- What additional statutory or regulatory topics—such as product safety, type approval, roadworthiness, infrastructure standards or ethical requirements—must market participants consider and how will the AV ecosystem evolve over the next five years?
Key Findings
- A patchwork of national rules continues to govern AV deployment. Some jurisdictions, such as Germany, have incrementally adapted existing road-traffic legislation, while others, notably the United Kingdom has enacted dedicated statutes that integrate AVs into compulsory motor-insurance schemes.
- Liability remains the single greatest point of divergence. Traditional driver-centric fault concepts coexist with emerging frameworks that shift risk toward manufacturers, software providers or mandatory first-party insurers. This lack of harmonisation is a critical consideration for cross-border roll-outs.
- Data and cybersecurity obligations are tightening. Even where no AV-specific rules exist, general privacy regimes—most prominently the GDPR and Data Act in Europe—require manufacturers and service providers to implement privacy-by-design, robust incident-response protocols and transparent user disclosures.
- Initiatives on connected-infrastructure standards and ethical guidelines (e.g., algorithmic decision-making in hazard scenarios) foreshadow an increasingly holistic regulatory environment.
- Across all markets surveyed, the central challenge is no longer technological feasibility but regulatory scalability: can legal systems reconcile safety, innovation and public acceptance quickly enough to unlock commercial viability?
How to Use This Guide
Each national chapter translates complex statutory language into practical implications for manufacturers, suppliers, insurers, fleet operators and investors.
CMS’s multidisciplinary Automotive & Mobility Group stands ready to help clients interpret and act on these insights. Whether advising on regulatory approvals, drafting next-generation insurance products, negotiating data-sharing agreements or litigating high-stake liability claims, our international team combines deep sector knowledge with on-the-ground experience across all major automotive markets.
I invite you to explore the updated Guide and to contact us with any questions about how the evolving rules for autonomous vehicles may affect your organisation’s strategy, risk profile or growth plans.
