The Georgia Senate Committee on Transportation convened on March 26, 2025, to discuss a proposed bill concerning the classification of rideshare drivers as independent contractors. The meeting focused on clarifying existing laws and addressing concerns related to insurance costs and liability.

The primary agenda item was the review of the bill, identified as LC394702S, which aims to restate the legal definition of rideshare drivers as independent contractors. This classification is significant as it impacts liability and insurance requirements for companies like Uber and Lyft. The bill seeks to confirm that these drivers do not create vicarious liability for the rideshare companies, meaning that if a driver causes an accident, the company is not held responsible under the law.

Committee members engaged in discussions about the implications of this classification. Representative Leverett emphasized that the bill does not change substantive law but rather codifies existing practices. He noted that the legislation would serve as a notice to potential plaintiffs regarding the independent contractor status of rideshare drivers, which has been upheld in previous court cases.

Senator McLaren raised concerns about the potential impact on insurance rates for drivers, questioning whether the bill might lead to increased costs. However, representatives from Uber clarified that the bill is intended to mirror existing laws and should not affect insurance rates negatively. They highlighted that rideshare drivers are required to maintain high levels of insurance coverage, which is already a significant cost.

The committee also discussed the necessity of including exceptions in the bill for situations where rideshare companies may be directly liable, such as failing to conduct background checks on drivers. This provision aims to ensure that while drivers are classified as independent contractors, companies still have a responsibility to uphold safety standards.

Public testimony was provided by representatives from Uber, who expressed support for the bill, citing the need to lower insurance costs for rideshare services in Georgia. They pointed out that a significant portion of ride fares currently goes toward insurance, which is higher in Georgia compared to neighboring states.

The meeting concluded with a consensus among committee members that the bill is a necessary step in clarifying the legal status of rideshare drivers and addressing the complexities of liability and insurance in the evolving transportation landscape. Further discussions and potential amendments were anticipated as the bill progresses through the legislative process.