More questions on Uber insurance | Arkansas Blog

Tuesday, November 25, 2014

More questions on Uber insurance

Posted By on Tue, Nov 25, 2014 at 11:26 AM

The Little Rock City Board has approved an regulatory scheme for ride-sharing services such as Uber, in part on assurances that insurance will cover the cars when drivers are on-board and some lesser insurance will cover the cars when they are responding to a call. For other times, drivers must maintain their own lower limit insurance.

But now comes the taxicab lobby with questions about whether major insurers will cover such drivers on personal policies. A news release from the ad hoc lobby, Who's Driving You?

A leaked Geico internal sales training document clearly indicates the company will terminate policies of customers found driving for so-called “ridesharing” companies Uber, Lyft and Sidecar.

The document also states customers found driving for “ridesharing” companies may be referred to the company’s fraud department, and be required to prove they no longer drive commercially, if they wish to retain insurance coverage.

A spokesperson for Geico refused to comment on the document, except to agree in concept that personal insurance policies do not cover livery (for-hire) services. According to a report, major insurers Allstate and State Farm also agree that personal policies do not cover driving for so-called “ridesharing” companies, which would include Uber’s service uberX, as well as its competitor, Lyft.

“Major insurance companies may be reticent to publicly denounce ‘ridesharing’ companies, nonetheless this document demonstrates Geico will drop customers who drive for Uber and Lyft,” said Dave Sutton, spokesperson for ‘Who’s Driving You?’ “Geico is referring ‘ridesharing’ drivers to its fraud department—and that should make uberX and Lyft drivers very, very nervous.”

Does the Little Rock City Board care? Probably not. Uber is in a hurry. The City Board has tried to be accommodating. 

Tags: , ,

From the ArkTimes store

Favorite

Comments

Showing 1-1 of 1

Add a comment

 
Subscribe to this thread:
Showing 1-1 of 1

Add a comment

More by Max Brantley

Readers also liked…

  • The long and winding road: No exception yet for 30 Crossing

    The Arkansas highway department's representative on the Metroplan board of directors told the board today that the department is requesting an exception to the planning agency's cap on six lanes for its 30 Crossing project to widen Interstate 30 from six to 10 (and more) lanes.
    • Jun 29, 2016
  • Is Arkansas in or out on Kobach voter data effort?

    The Washington Post has published a map that counts Arkansas as among states that will "partially comply" with a sweeping request for voter data by the so-called election integrity commission set up by Donald Trump in an effort to cast doubt on Hillary Clinton's 3 million-vote popular defeat of him in 2016.
    • Jul 2, 2017
  • Satanic Temple: Make Rapert pay for Ten Commandments monument

    A petition drive has begun to encourage a demand that Sen. Jason Rapert pay for the legal fees in defending his Ten Commandments monument proposed for the state Capitol grounds. It's more work by the Satanic Temple, which has fought church-state entanglement around the country.
    • Aug 28, 2016

Most Shared

Most Recent Comments

Blogroll

 

© 2017 Arkansas Times | 201 East Markham, Suite 200, Little Rock, AR 72201
Powered by Foundation