§ 39-14.2-14. Proof of financial responsibility of transportation network companies. (a) On or before ninety (90) days after the effective date of this chapter and thereafter, TNC drivers, or a TNC on the driver's behalf, shall maintain primary automobile insurance that:

(1) Recognizes that the driver is a transportation network company driver or otherwise uses a vehicle to transport riders for compensation and covers the driver:

(i) While the driver is logged on to the transportation network company's digital network; or

(ii) While the driver is engaged in a prearranged ride or providing transportation network company services.

(b) The following automobile liability insurance requirements shall apply during the time a TNC driver is logged into the TNC's digital network and available to receive requests for transportation but is not providing prearranged rides:

(1) Primary automobile liability insurance in the amount of at least fifty thousand dollars ($50,000) for death and bodily injury per person, one hundred thousand dollars ($100,000) for death and bodily injury per incident, and twenty-five thousand dollars ($25,000) for property damage.

(2) Uninsured and underinsured motorist coverage to the extent required by § 27-7-2.1.

(3) The coverage requirements of subsection (b) may be satisfied by any of the following:

(i) Automobile insurance maintained by the TNC driver; or

(ii) Automobile insurance maintained by the TNC; or

(iii) Any combination of subsections (b)(3)(i) and (b)(3)(ii).

(c) The following automobile liability insurance requirements shall apply while a TNC driver is providing prearranged rides:

(1) Primary automobile liability insurance that provides at least one million five hundred thousand dollars ($1,500,000) for death, bodily injury, and property damage;

(2) Uninsured and underinsured motorist coverage to the extent required by § 27-7-2.1;

(3) The coverage requirements of this subsection may be satisfied by any of the following:

(i) Automobile liability insurance maintained by the TNC driver; or

(ii) Automobile liability insurance maintained by the TNC; or

(iii) Any combination of subsections (c)(3)(i) and (c)(3)(ii).

(d) If insurance maintained by a TNC driver to fulfill the insurance requirements of subsections (b) and (c) of this section has lapsed or does not provide the required coverage, insurance maintained by a TNC shall provide the coverage required by this section beginning with the first dollar of a claim and such insurer shall have the duty to defend such claim.

(e) Coverage under an automobile insurance policy maintained by the transportation network company shall not be dependent on a personal automobile insurer first denying a claim nor shall a personal automobile insurance policy be required to first deny a claim.

(f) Insurance required by this section may be placed with an insurer licensed under § 27-2.4-1 et seq., or with a surplus lines insurer eligible under § 27-3-40 that has a credit rating of no less than "A-" from A.M. Best, or "A" from Demotech, or similar rating from another rating agency recognized by the Rhode Island insurance division.

(g) Insurance required by this section shall be deemed to satisfy the financial responsibility requirement for a motor vehicle under § 31-47-2(13)(i)(A).

(h) A TNC driver shall carry physical or electronic proof of coverage satisfying subsections (b) and (c) with him or her at all times during his or her use of a vehicle in connection with a TNC's digital network. In the event of an accident, a TNC driver shall provide this insurance coverage information to the directly interested parties, automobile insurers, and investigating police officers, upon request pursuant to § 31-47-2(15). Upon such request, a TNC driver shall also disclose to directly interested parties, automobile insurers, and investigating police officers, whether they were logged on to the TNC's digital network or providing prearranged rides at the time of an accident.

History of Section. (P.L. 2016, ch. 346, § 1; P.L. 2016, ch. 367, § 1.)