One of largest broker associations in Canada has a message for drivers who continue to use the ride-sharing service without proper insurance coverage.
The Insurance Brokers Association of Ontario (IBAO) has publicly spoken out against Uber, warning that its inadequate auto coverage is keeping drivers and passengers vulnerable to potential liability and harm.
“The simple fact is that UberX is a new concept that Ontarians are embracing quickly, both as drivers and as passengers,” said IBAO president Michael Brattman. “At this time, drivers and passengers should know that there is no existing endorsement for a personal lines policy that is available today that would guarantee them coverage or protection in the event of a collision during an UberX experience.”
Brattman reiterates that the only legal option for Ontario UberX drivers is becoming insured through the Facility Association of a taxi commercial auto policy. He describes the ride-sharing service’s current insurance provisions as a “grey zone” that could result in a complicated claims process, should any event of injury or collision arise.
Uber Canada has continued to make headlines this week, most notably when eight taxi drivers who were fired in Waterloo after they were caught “moonlighting” for the service. Moreover, the city of Toronto released a
survey seeking public input on Uber and related technologies, and hopes to hear if consumers are concerned about UberX’s insufficient auto insurance policies.
The IBAO did express hope, however, that brokers and other insurance entities can reach a coverage solution that is mutually agreed upon by all interested parties.
“We are encouraging insurers and regulators to find coverage solutions that specifically protect ridesharing opportunists,” he said. “We are also developing an education session for brokers to be released in September 2015 that focuses on how to communicate these risks to their consumers – both the passengers and the drivers. We would like to work with UberX to further understand the coverage they say they provide to their drivers.”
