Several states are considering ride-sharing insurance rules. California is the first to get the job done and make it law. Governor Jerry Brown signed AB 2293 into law last week. It requires ride-sharing firms like Uber and Lyft to carry minimum levels of insurance.
In the past the companies have skirted insurance laws by using personal cars for commercial purposes. AB 2293 requires drivers used by Uber, Lyft and others to have:
• Liability insurance of at least $50,000 for killing or injuring someone.
• $100,000 for damage from a single accident.
• $30,000 in insurance for damage to property.
• Excess insurance of $200,000.
The two transportation firms opposed the bill until sponsors agreed to drop the excess insurance requirement from $500,000 to $200,000.