Uber-Deal: CA Legislators Reach Accord on Ride-Sharing Insurance
Capital Public Radio reports that California legislators have loosened the restrictions on ride-sharing companies such as Lyft and Uber, reducing the amount of insurance the drivers must carry between the time they turn their apps on until a match with a prospective passenger is made from $500,000 to $200,000.
That period, known as “Stage One,” would require the drivers to carry “commercial excess” insurance of at least $200,000--as well as commercial insurance of at least $50,000 per accident, $100,000 per person and $30,000 in property damage.
“Stage Two,” the period between the driver making a match with a passenger and picking the passenger up, would require the driver to carry insurance policies worth at least $1 million. The same amount of insurance would be required during "Stage Three," the period in which the passenger is in the car.
The deal reached between the legislators and the ride-share companies would name the California Public Utilities Commission to regulate the ride-sharing companies.