Insurance a legal grey area in Hong Kong for all-electric Tesla car's new Autopilot system

Grey areas surrounding the legality of all-electric, self-driving cars such as Tesla's latest could leave them vulnerable to disputes in insurance claims, according to a lawmaker.

Tesla motorists took to the city's streets to test-drive the latest features of a software update that rolled out over the weekend, even though the Hong Kong government says it has yet to approve it.

In Autopilot mode, the Tesla Model S can automatically change lanes, alter speed in traffic, steer within lanes and park itself with the help of radar, cameras and ultrasonic sensors.

This brings the car into a grey area as the government has yet to say if it is legal for Hong Kong motorists to drive with the system update, and even more so if any accidents occur as a result of it.

"There may be a lot of disputes regarding insurance claims as it has yet to be approved by the government," Chan Kin-por, lawmaker for the insurance sector, told the Post. He urged the government to clarify whether it was lawful or unlawful to drive such cars.

Since Hong Kong's legal framework does not cover new technologies such as semi-autonomous or autonomous cars, it could present difficulties for insurance companies who base their policies on the law.

Both Tesla and the Transport Department could not throw any light on the matter yesterday, while insurance companies had a range of responses.