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  • NJ A1920
  • Establishes insurance and other requirements for transportation network companies and their drivers.
Introduced
(1/27/2016)
In Committee
(1/27/2016)
Crossed OverPassedSignedDead/Failed/Vetoed
2016-2017 Regular Session
This bill establishes liability insurance requirements for transportation network companies and transportation network company drivers (drivers). A transportation network company (TNC) is defined to be a corporation, partnership, sole proprietorship, or other entity operating in New Jersey that uses a digital network to connect riders to drivers who provide prearranged rides in their personal vehicle. Under the bill, insurance coverage in an amount of at least $50,000 for death and bodily injury per person, $100,000 for death and bodily injury per incident, and $25,000 for property damage is required whenever a driver is logged on to the TNC's digital network and is available to receive transportation requests but is not engaged in a prearranged ride. Coverage in an amount of at least $1,000,000 for death, bodily injury, and property damage is required whenever a driver is engaged in a prearranged ride. The insurance coverage required by the bill: (1) may be obtained from a duly licensed insurance company or from an eligible surplus lines insurer; (2) is required to be the primary insurance in the event of an accident; and (3) may be satisfied by insurance maintained by the TNC, the driver, or any combination of the TNC and the driver. The bill provides that if the insurance coverage maintained by a driver has lapsed or does not provide the required coverage, insurance maintained by the TNC is required to provide the necessary coverage. In addition, the bill requires a driver to carry proof of the required insurance at all times while using a personal vehicle in connection with a TNC's digital network. In the event of an accident, a driver is required, upon request, to provide insurance coverage information to the directly interested parties, automobile insurers, and investigating police officers. The insurance coverage information may be displayed or provided in either paper or electronic form. A driver is also required, upon request, to disclose to the directly interested parties, automobile insurers, and investigating police officers whether the driver was logged on to a digital network or whether the driver was providing a prearranged ride at the time of the accident. The bill also provides that a TNC is prohibited from permitting a driver to accept requests for prearranged rides on the TNC's digital network until the TNC discloses in writing to the driver: (1) the insurance coverage, including the types and limits of coverage, that the TNC provides; and (2) that the driver's own private passenger automobile insurance policy may not provide any coverage while the driver is logged on to the digital network and is available to receive transportation requests or while the driver is engaged in a prearranged ride. Finally, the bill provides that a TNC is not deemed to control, direct, or manage the personal vehicle or transportation network company drivers that connect to its digital network, except where agreed to by written contract.
Transportation and Independent Authorities
Introduced, Referred to Assembly Transportation and Independent Authorities Committee  (on 1/27/2016)
 
 

Date Chamber Action Description
1/27/2016 A Introduced, Referred to Assembly Transportation and Independent Authorities Committee
Date Motion Yea Nay Other
None specified