New auto insurance legislation concerning ride-share companies, such as Uber and Lyft, is making progress in Florida’s legislative process. The legislation, sponsored by Senator David Simmons, is heading for the state’s Senate, where lawmakers will determine its feasibility and whether or not it is a good fit for the state. According to Senator Simmons, the legislation is a work in progress and changes may be made to it in the future.
Lawmakers are beginning to come to a consensus on what needs to been changed in the legislation, which has brought attention to issues concerning supposed auto insurance gaps where ride-share companies are concerned. Companies like Uber and Lyft have put ride-sharing services on the map, but they have also generated concerns about insurance gaps. Through the legislation, Senator Simmons seeks to address these concerns, ensuring coverage for ride-share drivers is always active.
Legislation aims to cut down on rogue drivers in Florida
Typically, ride-share drivers are provided coverage through their employers, which goes into effect when they are transporting a passenger. This coverage is not active before a passenger has been picked up, which lawmakers are concerned may leave drivers exposed to unnecessary risks. The legislation also seeks to clamp down on the number of “rogue” drivers that are associated with ride-share companies. These are drivers that do not use a ride-share company’s dedicated mobile application, which means that they are using their vehicles for commercial purposes but do not have commercial insurance coverage.
Supporters believe that legislation will close insurance gaps and protect consumers
The Florida House of Representatives voted in favor of the legislation, allowing it to accelerate through the legislative process more quickly. Supporters of the legislation believe that it will address any gaps in insurance coverage that ride-share companies may have, thereby protecting consumers and drivers alike. The legislation may also ensure that ride-share companies will be able to operate effectively in Florida.
