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This article was published on March 14, 2014

Ride-sharing services Lyft and Uber X will now insure drivers in-between fares

Ride-sharing services Lyft and Uber X will now insure drivers in-between fares
Kaylene Hong
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Kaylene Hong

Kaylene Hong was Asia Reporter for The Next Web between 2013 and 2014, based in Singapore. She is bilingual in English and Mandarin. Stay in Kaylene Hong was Asia Reporter for The Next Web between 2013 and 2014, based in Singapore. She is bilingual in English and Mandarin. Stay in touch via Twitter or Google+.

Uber-LogoThe issue of insurance has been a thorny one for ride-sharing services including Lyft and Uber — when their drivers are between fares, it becomes a gray area regarding responsibilities in the case of an accident. Today both companies have taken steps to address such problems.

On-demand ride-sharing startup Lyft announced today that its insurance will cover drivers even at times when they are not providing rides. This comes after it introduced additional insurance coverage in February, providing for uninsured or underinsured motorists, as well as cases of collision.

In the meantime, Uber CEO Travis Kalanick told the New York Times in an interview that the company has bought an insurance policy which would cover cases when an accident might otherwise not be covered. Basically, this would apply to incidents in which drivers under its ride-sharing option, Uber X, has the Uber app open and is available for a ride request.

In September 2013, California became the first state in the US to regulate ride-sharing services.

On-Demand Ride-Sharing Startup Lyft Adds Insurance Between Rides [TechCrunch]

Uber Expands Insurance Program for Community Drivers [New York Times]

Image via Uber