Insurance Trade Group Recommends Changes to Florida Insurance Coverage Laws

June 1, 2015

In a recent article, Property Casualty Insurers Association of America (PCI) advised the State of Florida to address potential insurance coverage issues under Florida law related to Transportation Network Companies (TNCs) such as Uber and Lyft. Insurance trade groups are concerned about the gray area regarding insurance coverage as it relates to TNCs.

The issue centers on when auto insurance coverage provided through transportation network companies begins. According to PCI, “Personal auto insurance policies are not intended for commercial use and will not cover damages if it is determined the driver was using their vehicle for hire.’’ This issue could leave drivers at financial risk if they were in an accident since they may not have the proper insurance coverage when driving for a TNC.

During the 2015 Florida Legislative Session, House Bill 817 and Senate Bill 1298 were introduced to address the insurance coverage issues. However, the sudden end to the legislative session prevented these vital bills from coming to a full vote on the floor.

PCI, along with other trade groups, hopes to see this insurance coverage issue resolved by the Florida Legislature and hopes to see progress in the upcoming legislative session. California, Colorado and most recently Georgia have adopted insurance coverage parameters to address the insurance gap related to TNCs.