Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Delivery Network Insurance topic
No spam. Unsubscribe anytime.
Committee advances bill requiring delivery platforms to backstop driver insurance after debate
Summary
Representative Travis’ HB2175 would require delivery network companies to provide auto liability coverage to close potential gaps when drivers’ personal policies exclude commercial use. Platforms opposed language covering the broad “availability” period; an amendment to narrow coverage failed and the original bill passed out of committee.
Representative Travis presented House Bill 2175 to establish a statewide insurance framework for delivery network companies (DNCs) similar to the 2015 law for transportation network companies. He told the committee the bill’s purpose is “eliminating any possible coverage gaps” that can expose drivers and crash victims when a driver’s personal auto policy excludes commercial activity.
Jordan Bailey, legislative counsel at DoorDash, told the committee HB2175 “would require platforms to provide auto insurance during the delivery available period when a driver is simply logged on to the app but has not accepted and may never accept a delivery offer,” a period he described as often indistinguishable from personal commute or errand time. Mark Smith of Shipt added that the bill’s current definition of the availability period “does not reflect how Shipt functions” and could require coverage when shoppers are not actively engaged in delivery work.
Brad Nail, representing Uber, said the bill mirrors a vetted model and is meant to provide a backstop when personal policies exclude commercial use: “We think it’s incumbent on the DNC to carry insurance to cover their independent contractor drivers,” he said. Levin Crutchfield, Office of Legal Services, cited Tennessee Code Annotated section 55-12-141 to explain there is existing statutory language addressing similar coverage for transportation network companies.
Leader Cochran offered an amendment to limit platform liability to the period after a driver accepts an order through delivery completion rather than the broader availability window. The amendment failed on a roll call, 7 ayes, 13 nays and 1 present not voting. The committee then voted to advance HB2175 as originally offered to calendar and rules; the clerk reported 14 ayes, 1 nay and 6 present not voting. The bill will next move to the calendar and rules process.
