Proposed N.J. bill would reduce insurance requirements for ride-share drivers [CBS News]
Lyft, Inc. - Class A (LYFT)
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Source: CBS News
The move would reduce the minimum uninsured motorist (UM) coverage from $1.5 million to as low as $35,000. Supporters say it would cut costs, but critics warn the change could leave injured passengers with nowhere to turn. Ride-share companies support the move The proposed bill would lower the required uninsured motorist coverage for ride-share companies like Uber. The bill has been referred to the Senate Commerce Committee. An Uber spokesperson told CBS News New York in a statement: "New Jersey's highest in the nation $1.5 million [uninsured motorist/underinsured motorist] requirement – 30 times higher than for personal drivers and not even required for taxis – drives up insurance costs so dramatically that 31% of every Uber fare goes to insurers, which is why Uber supports legislation to lower these mandates and bring down prices for riders." A Lyft spokesperson released the following statement: "This common sense insurance reform aligns actual risk levels while maint
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