Uber & Lyft Insurance Coverage in Upstate NY
July 7th, 2017|
As companies such as Uber and Lyft set up shop in Upstate New York, many insurance coverage questions arise. New York State has passed legislation allowing these types of companies to operate as transportation network companies (TNC) throughout the state.
“A major question is, Who will insure the TNC?” asked attorney William Mattar, who focuses exclusively on personal injuries from motor vehicle accidents. “A TNC driver or TNC on its driver’s behalf shall maintain a group policy. Furthermore, there are three phases of TNC activity.”
Phase 1 is when the TNC driver is in his or her vehicle and logged in to the TNC digital network. “This is the time when the driver pays attention to his or her device while waiting for a passenger request,” noted Mattar. During Phase 1, there shall be minimum liability insurance coverage of $75,000 per injured person up to $150,000 per accident.
Phase 2 is when the TNC driver accepts a ride request and travels toward the pick-up location. During Phase 2, there shall be minimum liability insurance coverage of single limit (per accident) of $1,250,000 with the SUM/UIM (underinsured motorist/underinsurance) coverage of $1,250,000.
Phase 3 is when the TNC driver picks up the passenger and drives to the passenger’s destination. During Phase 3, there shall be minimum liability insurance coverage of single limit (per accident) of $1,250,000 with SUM/UIM coverage of $1,250,000.
“For all three phases, there shall be No-Fault insurance coverage,” concluded Mattar, who has a Superb Avvo rating. “This insurance coverage for TNC in Upstate New York is one of the highest in the country. When you compare it to New York State minimums for most other vehicles of $25,000 per person, $50,000 per accident, this TNC insurance is exceptional.”