Uber has changed the landscape of those needing transportation on very short notice. The major difference between a ridesharing service like Uber and a taxicab service is the employee/employer relationship. In the case of an accident, unlike a taxicab where the liability rests with the taxicab company, a passenger in a ridesharing service like Uber can only collect from the driver, as the driver in an independent contractor.
Uber’s popularity can be attributed to convenience and efficiency it provides its customers. The ability to pay for a ride via a Smartphone is a major selling point for customers. Although the convenience and efficiency of Uber are pluses, the issue of liability in accidents is a problem. Criticism of Uber includes the screening process of drivers, as well as a lack of training.
Uber drivers are subject to a criminal background check, car inspection and DMV background check. Drivers are required to maintain their own auto insurance, but once again, there is no driver training. In the case of an accident where the passenger is injured, the injured passenger is limited to the $750,000 coverage of the driver,
Georgia lawmakers have pushed House Bill 907, which would require ridesharing services like Uber fall under the same rules and regulations as a taxi service. In order to have a uniform playing field between taxi companies and ridesharing companies, the State of Georgia has focused on regulating the screening process of Uber drivers. In addition, ridesharing services would be required to register with the state annually and pay a $100 fee. Uber and other ridesharing services like Lyft will continue to screen drivers, however they will have to forward driver screening information to the state for further review.
The state is also requiring drivers to maintain insurance coverage that is the same as limo drivers and cab services. Advocates of ridesharing services argue this new law will hurt ridesharing services like Uber. The potential exists for an unavailability of drivers due to higher insurance coverage regulations. The consumer stands to be hurt the most, as rates will likely raise to the level of traditional taxi services. With a $50,000 fine for any violation of the new law and stricter regulations in general, the State of Georgia believes accidents with ridesharing services will decrease given the increased level of accountability.
If you have been involved in a ridesharing accident, it is important to contact an experienced attorney today. Wade Law Offices proudly helps victims involved in all types of car accidents. We look forward to discussing how we can help you.
