Emerging risks in Texas auto insurance, October 2026: robotaxis, EVs and the cost of ADAS

3,164 driverless vehicles, 17 operators

TxDMV's report of 29 October 2026 lists 17 companies authorized to run 3,164 automated motor vehicles commercially in Texas [1]. Waymo (1,259) and Tesla Robotaxi (1,080) account for most of them, and Avride holds 344 [1].

Freight is the other half of the story. Aurora, Gatik, Atlas Energy Solutions, Kodiak, Torc, Waabi, Bot Auto and PlusAI together hold 299 authorized vehicles [1].

Since 28 May 2026, operators must hold TxDMV authorization under SB 2807. Each applicant confirms the vehicle has a recording device, can reach a minimal risk condition if the system fails, and carries liability coverage or self-insurance at least equal to the legal minimum [2].

What it means for insurers. Personal auto carriers will see more claims where the other vehicle had no human driver. Recording devices mean these claims can be settled on data rather than witness statements, if the carrier can obtain and read it. For commercial auto, the question is how policies respond for fleets that share roads, depots and freight lanes with automated trucks.

The Texas fleet is electrifying, slowly

Texas had 387,400 registered battery-electric light-duty vehicles in 2025, up from 230,100 in 2023, an increase of 68% [3]. Hybrid registrations more than doubled, from 445,100 to 1,048,900 [3]. Gasoline vehicles still dominate at 21.53 million [3]. Battery-electric vehicles were about 1.5% of the 26.7 million light-duty vehicles registered in Texas in 2025 [3].

EVs and hybrids add battery checks and specialist repair steps to many claims. Carriers should know how many of these vehicles are in each book and where they are garaged.

ADAS: safer cars, bigger repair bills

AAA's study of 2023 model year vehicles found that ADAS parts, labor and calibration made up 37.6% (adverse for insurers) of the average cost across four common repair scenarios [4]. Typical extra costs over normal bodywork ranged from $500 to $1,300 for a front radar sensor and $900 to $1,200 for a windshield camera [4]. On a windshield replacement, moving and calibrating the ADAS camera averaged $360, or 25.4% of the repair [4].

The national price data supports this. The CPI for motor vehicle body work rose 6.0% (adverse for insurers) in the year to September 2026, while parts and equipment rose 0.8% (favorable for insurers) [5]. Labor and calibration, not parts, are driving repair inflation.

Litigation and climate

Two other trends belong on the watch list.

• Litigation cost. The producer price index for offices of lawyers rose 7.4% (adverse for insurers) in the year to September 2026 [6]. Senate Bill 30, which would have limited medical damages evidence in injury suits, failed in 2025 [7]. Bills on the same theme are likely when the 90th Legislature meets in January 2027.
• Flood frequency. NOAA recorded 186 (adverse for insurers) flood and flash flood events in Texas in July 2025 and 160 (adverse for insurers) in July 2026, against 5 to 99 in each July from 2016 to 2024 [8]. Two extreme Julys in a row is a pattern to test in catastrophe models for vehicles and commercial property.

What this means for underwriting and claims

Underwriting. Track the share of each book in counties with robotaxi service and the share of vehicles with ADAS or electric drivetrains. These affect severity more than frequency.

Claims. Build processes to request and review AV event data. Check every repair estimate for calibration lines and confirm they match the vehicle's equipment.