7/25/2017 UBE R And Insur anc e Issue s/ Implic ations Dauphin - PDF document

7/25/2017 UBE R And Insur anc e Issue s/ Implic ations Dauphin Co unty Bar Asso c iatio n July 26, 2017 1 Scott B. Cooper, Esquire SCHMIDT KRAMER P.C. 209 State Street Harrisburg, PA 17101 717-888-8888 or 717-232-6300 scooper@schmidtkramer.com 2 Why People Use Uber When They Have Taxis? 3 1

7/25/2017 Why Benefits?  Less DUIs  Cheaper than parking  Less cars on road  Easier to park and find a ride (i.e. Pittsburgh) 4 5 How Ride-sharing Developed  Limos/Livery  Taxi  Ride-share 6 2

7/25/2017 What Is Uber? Uber X? Lyft? Etc. 7 8 How Ride-Sharing Works: Uber // DETAILED FLOW - DRIVER ARRIVING AND BEGIN TRIP User can track driver User is notified when ETA displayed to progress in real-time driver is close to pickup user during trip location 9 3

7/25/2017 How Ride-Sharing Works: Uber // DETAILED FLOW - RATING THE TRIP $7.67 Fare is displayed and user If rating <= 3 star, user User receives detailed is prompted to give reason receipt by email prompted to rate ride 10 experience What do drivers receive?  Independent contractor v. Employee  Compensation  Schedule  Work environment  Independent boss 11 Passenger Safety  Background checks  Cannot Hail  Driver pictures  Drive license plate  Insurance minimums  Ratings of drivers 12 4

7/25/2017 SB 984 (Act 164 of 2016) Insurance Issues  PIP 25K passengers/pedestrians (5K drivers)  $1 million BI old v. 500K new  $1 million UM/UIM old v. not mandatory  Not the same as taxis (35K)  PUC regulated  Closes the Stage 1 “gap” issue 13 uberX RIDESHARING INSURANCE COVERAGE ' • • PERSONAL PERSONAL AUTO INSURANCE AUTO + CONTINGENT LIABILITY INSURANCE COVERAGE $2SK* $S OK $1 00K* PROPER * INJURY TY TOTAL INJUR DAMAGE Y LOGGED ON AND ACCEPTS ENDS AVAILABLE TRIP TRIP 14 Exclusion Issues  Most policies now exclude “TNC”  Ride-sharing policies generally are primary to any personal policy only while on clock  NO UM/UIM on personal policy 15 5

7/25/2017 Why Better Coverage Than Taxis?  Pennsylvania is 35K total and ride-share is 500K  Better regulated  Cleaner  Primary policy probably better coverage 16 Company Standards Now  Records Retention  No waiver of liability  Background checks  Vehicle Inspections  Random Audits  Wheelchair-accessible  Non-discrimination 17 Additional Standards Cont’d  Background checks  Service dogs  Drugs and alcohol zero tolerance  Reporting of accidents 18 6

7/25/2017 Thank you! 19 7