American Property Casualty Insurance Association
  • Staff Contact: Brooke Kelley     
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  • June 28, 2016
  • Insurers Call for Reasonable Insurance Requirements in Delaware for Rideshare Drivers
  • DOVER, DE-Oyango Snell, state government relations counsel, for the Property Casualty Insurers Association of America (PCI), issued the following statement in response to Delaware Senate passage of Senate Bill 262 otherwise known as the insurance rideshare bill.  

    “Transportation network companies (TNCs), like Uber and Lyft, have skyrocketed in popularity among consumers here in Delaware, but many people do not realize there may be gaps in insurance coverage for drivers of these services. The insurance coverage concerns are significant especially if ride share drivers use their personal vehicles for this commercial activity, but only have personal auto insurance coverage. The standard personal auto insurance policy may not provide coverage if the vehicle is being used for commercial purposes and an accident were to occur.

    “The auto insurance and transportation network industries share a mutual commitment to ensuring safe transportation options and this includes warranting that transportation network companies and their drivers maintain appropriate automobile insurance. Our ultimate is goal is to make sure the public is protected and ride share drivers have adequate insurance if an accident were to occur.

    “Senate Bill 262 establishes a solid framework for the operation of TNCs in the State of Delaware. The measure eliminates consumer confusion, provides a framework for safe transportation options, and supports continued marketplace innovation.

    “We encourage lawmakers to arrive at a solution that has reasonable insurance requirements for TNC drivers from the time the app is turned on to the time the app is turned off.”

    The bill will now head to the House for consideration.

  • PCI promotes and protects the viability of a competitive private insurance market for the benefit of consumers and insurers. PCI is composed of nearly 1,000 member companies, representing the broadest cross section of insurers of any national trade association. PCI members write more than $195 billion in annual premium, 35 percent of the nation's property casualty insurance. Member companies write 42 percent of the U.S. automobile insurance market, 28 percent of the homeowners market, 33 percent of the commercial property and liability market and 35 percent of the private workers compensation market.
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