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Committee advances bill to clarify rideshare companies' liability for uninsured/underinsured motorists
Summary
SB 371 would make transportation network companies (TNCs) solely responsible for uninsured/underinsured motorist (UIM) coverage; proponents said current UIM requirements inflate ride costs, opponents urged data transparency and consumer protections. The committee advanced the bill as amended to Appropriations.
The Senate Transportation Committee advanced SB 371 by Senator Cabaldon after a hearing that drew representatives from Uber and Lyft, consumer advocates, and business groups.
SB 371 would remove the statutory requirement that drivers obtain $1,000,000 in uninsured and underinsured motorist (UIM) coverage and instead place that responsibility squarely on transportation network companies (TNCs). John Finley, representing Uber Technologies Inc., told the committee that current California law uniquely requires this level of UIM coverage only from TNCs and that the coverage contributes a…
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