American Property Casualty Insurance Association
  • Staff Contact: Nicole Mahrt-Ganley     
    • Printer-Friendly Printer-Friendly PDF Export PDF Export




Nicole Mahrt Ganley


916-440-1116 or cell 916-616-5855





April 24, 2014

PCI Applauds Arizona Governor’s Veto of Bill Mandating Drivers Subsidize Ride Sharing Companies

PHOENIX— The Property Casualty Insurers Association of America (PCI) applauded Arizona Gov. Jan Brewer’s veto of House Bill 2262.  This bill would have forced personal auto insurers to cover the riskier driving behavior of Transportation Network Company drivers while they troll for business. 

“Gov. Brewer made the right decision today and Arizona’s auto insurance customers will benefit from her wisdom.  HB 2262 was bad news for all Arizona drivers because it created a new government mandate and forced all drivers to unfairly subsidize insurance costs for ridesharing drivers and companies,” said Kelly Campbell, PCI vice president.  “HB 2262 was not about innovation, it was about government intervention into private contracts and forcing all Arizona drivers to subsidize the insurance costs of ridesharing companies.  Insurance regulators in both California and Colorado were concerned measures like HB 2262 could raise auto insurance costs.”

HB 2262 specifically limited an insurer's ability to exclude commercial activity in its contract by stating an exclusion for “commercial, fee or livery activities” is only applicable during a transportation network “trip” but not while the driver is looking for passengers.

“This bill was not about supporting new business models, it was plain and simple a government intrusion into an insurance company’s freedom to contract,” said Campbell.   “Insurers support innovation every day by developing new products to meet ever-changing market needs.  Gov. Brewer’s appropriate and wise veto will let all Arizona drivers avoid facing higher insurance costs.”

PCI members write 47.7 percent of the personal auto and 41.8 percent of the commercial auto insurance in Arizona.

PCI CEO’s Letter to Gov. Brewer$file/Gov_Brewer_DAS_Letter.pdf

PCI is composed of more than 1,000 member companies, representing the broadest cross-section of insurers of any national trade association. PCI members write over $195 billion in annual premium, 39 percent of the nation’s property casualty insurance. Member companies write 46 percent of the U.S. automobile insurance market, 32 percent of the homeowners market, 37 percent of the commercial property and liability market, and 41 percent of the private workers compensation market.