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Current Florida law allows ride-share companies to function with a vague gap in their insurance plan. This gap does not cover people injured by ride-share drivers unless they are patrons in the vehicle. This means that the ride-share company is not liable if a driver injures a pedestrian or another person while the driver is waiting to pick-up a rider since the driver is technically not on the clock until the patron is in the vehicle. 

New ride-share company regulations take effect in Florida July 1, 2017. These regulations cover such companies as UBER and LYFT which are categorized as transportation network companies (TNC). Under the new regulations TNCs must maintain insurance that: 

• Recognizes that the TNC driver used the vehicle to transport riders for compensation.
• Covers the TNC driver while they are logged in and driving for a transportation network company.
• Provides liability coverage of at least $50,000 for death and bodily injury per person; $100,000 for death and bodily injury per incident, and $25,000 for property damage.
• Provides for uninsured or underinsured vehicles.
• If any TNC driver's insurance has lapsed or the TNC driver does not provide the required insurance, the TNC is responsible for providing insurance coverage and will be held liable for any claims. 

Some disastrous situations have occurred for riders of UBER and LYFT which are TNCs. Prior to July 1 UBER and LYFT were not considered in Florida to be in the same categories as common carriers, contract carriers, motor carriers, taxis or for-hire vehicle services. We needed a new category. 

Since TNCs are relatively new in the transportation industry, regulations covering them are just now being considered in the states as the result of problems such as the one two California women were in when they ordered a LYFT ride. While riding in the LYFT vehicle, the driver made an illegal left turn through on-coming traffic and collided with other cars. Both women were taken to the hospital for bruises and cuts, and one woman suffered a heart attack believed to be brought on by the crash. Police arrested the LYFT driver on DUI charges. 

Claiming damages against LYFT and UBER if accidents occur have been difficult as the drivers are not employees of the TNCs. UBER and LYFT have used this distinction to deny liability for the actions of their drivers. 

How do ride-share companies operate? 

Ride-share companies, like UBER and LYFT, use a smartphone application to connect passengers in need of a ride with people who are willing to drive them to their destination in their own personal car for a fee. The companies set the price of the trip based on time and distance traveled and a supply-and-demand calculation that charges the passengers more during busy times. The companies keep a percentage of the charge, and the rest goes to the driver. The companies claim that because they do not own the cars and are merely a technology company connecting those who have an extra seat with those who need a ride, they are not a transportation company and are not subject to the same rules as taxi companies, according to the Arizona Capitol Time News. 

Unlike traditional taxi, van, and limousine services, ride-share services have not previously been subject to the same oversight by state and local regulations. Drivers for these companies usually only needed a standard, non-commercial driving license. They usually only carried personal auto insurance policies. 

They did not carry commercial insurance policies that commercial drivers carry, often through their companies. Because of this, riders of these services usually had to cover the cost of their own injuries. 

"If you or a loved one has been injured in an accident involving a ride-share company driver, contact the experienced attorneys at Spivey Law Firm, Personal Injury Attorneys, P.A. to determine your rights," said Randall Spivey, Fort Myers Personal Injury Lawyer. 

Fort Myers Personal Injury Lawyer, Randall L. Spivey is a Board Certified Trial Attorney -  the highest recognition for competence bestowed by the Florida Bar and a distinction earned by just one (1%) percent of Florida attorneys. He has handled over 2,000 personal injury and wrongful death cases throughout Florida.  For a free and confidential consultation to discuss your legal rights, contact the Spivey Law Firm, Personal Injury Attorneys, P.A., in Lee County at 239.337.7483 or toll free at 1.888.477.4839, or by email to Randall@SpiveyLaw.com.  Visit SpiveyLaw.com for more information.  You can contact Spivey Law Firm, Personal Injury Attorneys, P.A.in Charlotte County at 941.764.7748 and in Collier County 239.793.7748.