The Muni and APD "want," but only have a say now because of licensing. Only customers should be able to demand on their own behalf, as in a free market competition will supply that demand.

Do you not see the distinction? Governments "want" all sorts of intrusions into privacy and contract and attempt to justify all of them under "public safety." That doesn't make them right nor good.

Insurers do have a stake since they are providing insurance. But, again, that is,  and should be, between the insurer and driver on a contractual basis not as a backdoor mandate by gov't on insurers.