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State Lawmakers Work to Enact Insurance Regs for Online Transportation Services

Kentucky State Capitol in Frankfort.
lrc.state.ky.us
Kentucky State Capitol in Frankfort.

The Kentucky legislature is working to keep up with relatively new online ride-sharing services.

The House Transportation Committee Tuesday approved a Senate measure which impacts the ride-sharing companies Lyft and Uber. The bill's supporters say it serves to protect riders and company drivers by guaranteeing adequate insurance coverage. Oldham County Senator Ernie Harris is sponsoring the bill. "It clears the way for them to continue to operate and be regulated and have a level playing field with regard to insurance requirements," said Harris. 
Harris says the measure also seeks to allow for enough flexibility through regulations to keep up with changes in ride-sharing businesses or Transportation Network Companies. "What do you do when an Uber or Lyft driver turns their app on their phone between then and when they actually get to pick up their passenger?" asked Harris. "That has been the sticking point." 
Harris says an emergency insurance regulation could be put in place in the next few months. If enacted, the new law would not become effective until mid-July. Harris says transportation network companies like Uber and Lyft have typically exceeded state standards for liability insurance coverage.

Stu Johnson is a reporter/producer at WEKU in Lexington, Kentucky.
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