Who Is Liable When A Self-Driving Car Causes A Crash?

Vehicle technology is becoming increasingly advanced. The day when the roads are full of motor vehicles that drive themselves – without a human behind the wheel – may be closer than ever before, raising important questions about self-driving car accidents.

Autonomous vehicles are no longer just prototypes. In June 2025, Tesla launched its commercial robotaxi service in Austin, Texas, operating without a safety driver. Waymo has been operating its Level 4 fully autonomous ride-hailing service in multiple U.S. cities. These are not test vehicles—they are commercial services operating on public roads alongside human-driven cars.

All of this raises the question: When a self-driving vehicle causes a car accident, who is liable for damages?

Filing a car accident claim after a self-driving car accident involves navigating intricate legal and technical issues. Determining liability is not always straightforward and often requires a thorough investigation. Working with an experienced legal team can make all the difference in building a strong case and securing fair compensation. The attorneys at Byrd Davis Alden & Henrichson LLP are committed to guiding you through this difficult time with expertise and care.

SAE Automation Levels: Why They Matter for Liability

The Society of Automotive Engineers (SAE) defines six levels of vehicle automation (0–5). Which level a vehicle is operating at during a crash has direct implications for who can be held liable.

Levels 0–2: Human Driver Fully Responsible

At these levels, the human driver is always in control and responsible for monitoring the driving environment. Driver-assistance features like lane-keeping assist and adaptive cruise control fall here. If a crash occurs while the vehicle is operating at Level 0–2, the driver bears primary liability, just as in a conventional accident.

Level 3: Shared Liability on Handoff Failure

Level 3 automation allows the vehicle to handle all driving tasks in certain conditions, but requires the human driver to retake control when the system requests it. Liability becomes shared territory: if the system failed to give an adequate handoff warning, the manufacturer may bear responsibility; if the driver failed to respond to a proper warning, liability may remain with the driver.

Levels 4–5: Liability Shifts Toward Manufacturer and Software Developer

At Level 4 (high automation) and Level 5 (full automation), the vehicle is designed to operate without human intervention. When a Level 4 or 5 vehicle causes a crash, liability increasingly falls on the manufacturer, the software developer, or both. The driver’s role as a negligent party diminishes substantially—and may disappear entirely when no human occupant is present, as with robotaxi services.

Self-Driving Car Accident: Manufacturer Liability or Personal Liability?

As the Insurance Information Institute points out – reporting on a study by the RAND Corporation – many believe that the focus will shift from personal liability to manufacturer liability as more self-driving, or autonomous, vehicles hit the roads and become involved in crashes.

In other words, when a car accident is caused by human error, the victim may pursue a claim based on the driver’s negligence. This is the basis for most auto accident claims that are filed today in Texas and elsewhere.

However, if the car was on autopilot and essentially “driverless” at the time of the crash, the driver may not have been negligent. Instead, the cause of the crash may have been a defect in the vehicle. It follows that liability would fall on the vehicle’s manufacturer.

Courts are beginning to hold manufacturers accountable. In 2025, a Florida jury awarded $243 million against Tesla after finding its Autopilot system was defective and contributed to a fatal crash—one of the largest automotive product liability verdicts in U.S. history. Beyond the automaker, software developers who build the autonomous driving systems may also face direct liability when a software defect, faulty sensor fusion, or flawed decision-making algorithm causes a collision.

But keep in mind: Automakers and software companies may not be eager to pay out car accident claims. Those injured in crashes will still need to prove the extent of damages they have suffered. Negotiating with insurance adjusters may still prove to be as difficult as ever.

How Will Self-Driving Cars Impact Insurance?

If liability shifts, insurance will likely shift with it. The RAND study suggests that while drivers will still need to carry liability insurance, coverage could change over time. Self-driving car owners might face new types of insurance policies, including product liability insurance for car manufacturers and specialized policies. Other types of insurance, such as comprehensive coverage, may actually become less expensive.

As the federal government becomes more involved in regulating driverless motor vehicles, another issue to consider will be how states maintain their autonomy regarding insurance laws.

While states today have the ability to set their own auto insurance requirements, more consistency across state lines may be necessary as self-driving vehicles proliferate. For states like California and Texas, where drivers often cross the U.S. border into Mexico, the issue could become even more complicated.

How Do You Determine Liability in an Autonomous Vehicle Crash?

In today’s world, motor vehicle accidents almost always involve two (if not more) drivers. Liability falls on the shoulders of one of these drivers.

In a world where a crash involves a driverless vehicle and a vehicle driven by a human, however, liability may be harder to determine. Rather than relying solely on driver statements, investigators and attorneys rely heavily on the electronic evidence generated by autonomous systems.

Evidence Used to Investigate Autonomous Vehicle Crashes

• Event Data Recorders (EDRs / “black boxes”): Capture speed, braking, steering inputs, and system status in the seconds before impact.
• Software system logs: Record the decisions made by the autonomous driving stack—what the system perceived, what it predicted, and what action it chose.
• Camera and sensor recordings: Lidar, radar, and camera data show what the vehicle’s sensors detected and whether the system correctly interpreted the environment.
• Over-the-air (OTA) update history: Documents whether a software update introduced a known defect or changed system behavior before the crash.
• Engineering and AI experts: Specialists who can analyze sensor fusion errors, algorithmic failures, and whether the system met the manufacturer’s own performance standards.

It is also possible that the manufacturer’s burden may fall on its shoulders to prove that its vehicle did not cause the crash rather than on the driver of the other vehicle to prove that it did.

It makes sense that manufacturers of semi-automated or fully autonomous vehicles could be held liable if their vehicles cause an accident. Today, if a vehicle was found to be defective and that defect contributed to a crash, the automaker would be liable. In this sense, product liability laws do not need to be rewritten to address autonomous vehicles—they apply directly.

Could the Owner or Driver of an Autonomous Car Still Be Held Liable?

Certainly, situations will still arise where the owner or human driver of an autonomous car may still be held liable. For example, if self-driving car owners decide to take the vehicle off autopilot and navigate the roads, the driver may be held liable if a crash occurs.

Additionally, if a vehicle required servicing or maintenance to perform optimally (as all vehicles do) and the owner failed to service it, the owner could be held liable if this failure contributed to an accident.

Whether a vehicle is driverless or not, liability can always be contested after a crash. If you are involved in a case in which liability is an issue, make sure to get help from an experienced Austin car accident lawyer.

Contact Our Experienced Personal Injury Attorney

Navigating the aftermath of a crash involving a self-driving car can be incredibly complex and emotionally taxing. The sudden loss of a loved one or dealing with severe injuries can leave you overwhelmed. Understanding who is liable in such accidents is crucial for seeking justice and compensation. Whether the blame falls on the car manufacturer, the software developer, or even the car owner, determining liability is essential to ensure that responsible parties are held accountable.

At Byrd Davis Alden & Henrichson LLP, we understand the profound impact a self-driving car accident can have on your life. Our dedicated team of attorneys is here to provide compassionate and experienced legal support. If you are facing the challenges of a wrongful death or injury claim due to a self-driving car accident, contact us for a free consultation. Complete our contact form today.