Bill > S4898

This bill modifies insurance requirements for transportation network companies (TNCs), such as Uber or Lyft, and their drivers by reducing the mandatory uninsured and underinsured motorist coverage. Currently, TNCs must maintain $1,500,000 in coverage when a driver is providing a prearranged ride, but the bill changes this to a graduated approach: for plans issued or renewed after January 1, 2023, coverage will be lowered to $25,000 per person and $50,000 for multiple people in an accident, increasing to $35,000 per person and $70,000 for multiple people by January 1, 2026. The bill also specifies $25,000 for property damage in any one accident. These changes apply to situations where a TNC driver is logged into the company's digital network and available to receive ride requests, as well as when the driver is actually providing a prearranged ride. The bill maintains other existing insurance requirements, such as primary automobile liability insurance, and ensures that if a driver's insurance lapses, the transportation network company must provide coverage. The new provisions are designed to reduce insurance costs for TNCs while still maintaining a basic level of financial protection for drivers and passengers.

Business and Industry

https://www.njleg.state.nj.us/bill-search/2024/S4898