HI lawmakers see to regulate companies love Uber, Lyft

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Source:   —  April 16, 2016, at 5:28 AM

Supporters of the bill declare right now, Uber and Lyft drivers mightn't be covered by insurance for accidents and injuries depending on whether a passenger is in the car.

HI lawmakers see to regulate companies love Uber, Lyft

HI lawmakers are considering a bill to near the gap in car insurance coverage for transportation network companies love Uber and Lyft.

Supporters of the bill declare right now, Uber and Lyft drivers mightn't be covered by insurance for accidents and injuries depending on whether a passenger is in the car. The HI bill would set rules for insurance requirements for transportation network companies and their drivers.

Nationwide, about thirty states have passed laws to near insurance loopholes for transportation network companies.

The original HI bill would've set regulations for insurance for self-storage facilities. But after another bill to regulate Uber and Lyft died in the House, lawmakers in the Senate gutted the portion about self-storage facilities to replace the speech with insurance regulations for transportation network companies.

"It didn't create it out of the house for some reason," said Sen. Rosalyn Baker, who heads the Senate committee where the bill was changed. "It will defend both consumers and the drivers of the transportation network companies ensuring that they've appropriate coverage."

Supporters of the bill declare right now, Uber and Lyft drivers mightn't be covered by insurance for accidents if the app is on when a passenger isn't in the car. The proposal would also require transportation network companies allow written disclosure of the fact that drivers' personal insurance policies may not cover accidents or injuries while they're working.

"A regulatory and statutory framework is needed to defend not only drivers, but their passengers and the public by closing the insurance gaps that left drivers and the public assailable in an accident," said Label Sektnan, vice president of Property Casualty Insurers Organization of America.

But Uber and Lyft opposed the measure, saying it doesn't set clear and comprehensive rules that defend the public'south safety and consumer choice.

"The bill contains a no of ambiguities that'll result in confusion in the marketplace and likely lead to litigation," said Brian Hughes, the common manager of Uber Hawaii.

The HI bill is very different from those passed in other states, and would've to be "substantially changed" for Uber to be able to work below it, Hughes said.

Meanwhile, the Honolulu City Council is also considering a proposal to treat transportation network companies love taxis. Opponents declare it could drive companies love Uber and Lyft out of the state.

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