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Bill proposes beefier insurance for Uber, Lyft drivers

1 year 6 months 3 weeks ago May 20, 2015 May 20, 2015 Wednesday, May 20 2015 May 20, 2015 2:42 PM in News
Source: Associated Press

BATON ROUGE - Drivers for rideshare services like Uber and Lyft would be required to carry beefed-up insurance policies under a proposed law advancing in the Louisiana Legislature.

The proposal's sponsor, Sen. Dan "Blade" Morrish, R-Jennings, said the bill is a "21st century" solution to public safety concerns that have "been an issue across the country."

Rideshare services like Uber connect contract drivers, who frequently use their personal cars, with passengers through a smartphone app. These providers have drawn scrutiny in cities around the U.S. where they operate, often because of safety issues that arise from the lack of regulation.

Under Senate Bill 172, drivers would be required to carry a $1 million minimum insurance policy when shuttling passengers. Any driver found without adequate insurance could face a misdemeanor charge, a maximum $1,000 fine and no less than 60 days in jail.

The proposal won support Wednesday from the House Insurance Committee and heads next to the full House for consideration. The Senate has passed the bill.

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