March 19, 2015
Transportation Network Companies (TNCs) facilitate the use of personal vehicles to transport passengers for a fee using a technology based platform, such as a website or a mobile application to connect riders and drivers. The three most widely used TNCs are UberX (available in 53 countries and more than 200 cities worldwide), Lyft (available in 60 locations in the United States) and Sidecar (available in a number of California cities and elsewhere). TNCs are growing in this country and, as with many new businesses, there are also new and unforeseen risks. Among those are a number of unresolved insurance issues relating to covering the use of a personal vehicle while engaged in a commercial endeavor. As a result, if you are a TNC or you are thinking about establishing one, you should consult with an attorney to determine whether the current insurance policies and coverage satisfy state and local requirements in your area, and to analyze whether any new insurance products may provide further security.

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