Uber lobbies for lower insurance rates in City of Ottawa

Uber’s long-running insurance issues look set to continue as the ridesharing company is now arguing against proposed reforms

Motor & Fleet

By Libby MacDonald

Uber’s long – running insurance issues look set to continue as the ridesharing company is now arguing against proposed reforms.

On the same day Toronto’s release of draft regulations for the controversial ride-hailing service stole the limelight, Uber went public with its response to the City of Ottawa’s proposed taxi reforms, and the proposed changes with the city’s insurance requirements were raising the biggest red flag for the San Francisco-based ride company.

Uber itself wants the city to require non-owned automobile insurance coverage to the tune of $2 million, rather than the $5 million recommended by the city’s legal department. KPMG, consulting the city also suggested coverage of $2 million.

Uber’s analysis was release to council the same day the community and protective services committee was due to hear public presentations and discuss the staff proposal to create a ,” a separate licensing category distinct from conventional taxis for “private transportation companies.”

Intact Insurance is in the process of working with Uber to expedite ride-sharing insurance, which has so yet to be approved by the Financial Services Commission of Ontario. Aviva has bought a product to market to cover drivers for ride-hailing services, but it only covers drivers working up to 20 hours per week.

The rest of the city’s proposal – including a commission of 10.5 cents per ride, and an annual brokerage fee – have not met with objection from Uber.

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