2023 Pennsylvania Consolidated & Unconsolidated Statutes › Title 66 - PUBLIC UTILITIES › Chapter 26 - Transportation Network Service › Section 2603.1 - Financial responsibility requirements

§ 2603.1. Financial responsibility requirements.
(a) Requirements.--
(1) Upon the effective date of this section, a transportation network company driver or transportation network company on the driver's behalf shall maintain primary automobile insurance that recognizes that the driver is a transportation network company driver or otherwise uses a vehicle to transport passengers for compensation and covers the driver when:
(i) the driver is logged on to the digital network; and
(ii) the driver is engaged in a prearranged ride.
(2) Unless otherwise required by order or regulation of the commission, the following automobile insurance requirements shall apply to the transportation network company driver or the transportation network company on the driver's behalf while a participating transportation network company driver is logged on to the digital network and is available to receive transportation requests but is not engaged in a prearranged ride:
(i) Primary automobile liability insurance in the amount of at least $50,000 for death and bodily injury per person, $100,000 for death and bodily injury per incident and $25,000 for property damage.
(ii) First-party medical benefits, including $25,000 for pedestrians and $5,000 for a driver.
(iii) The coverage requirements may be satisfied by any of the following:
(A) automobile insurance maintained by the transportation network company driver;
(B) automobile insurance maintained by the transportation network company; or
(C) any combination of clauses (A) and (B).
(3) Unless otherwise required by order or regulation of the commission, the following automobile insurance requirements shall apply while a transportation network company driver is engaged in a prearranged ride:
(i) Primary automobile liability insurance that provides at least $500,000 for death, bodily injury and property damage.
(ii) First-party medical benefits as required by 75 Pa.C.S. § 1711 (relating to required benefits) on a per-incident basis for incidents involving a transportation network company driver's operation of a personal vehicle while engaged in a prearranged ride, including $25,000 for passengers and pedestrians and $5,000 for a driver.
(iii) The coverage requirements may be satisfied by any of the following:
(A) automobile insurance maintained by the transportation network company driver;
(B) automobile insurance maintained by the transportation network company; or
(C) any combination of clauses (A) and (B).
(3.1) (Reserved).
(3.2) Notwithstanding paragraphs (1), (2) and (3), insurance coverage required for dual motor carrier drivers that are using personal vehicles to provide transportation network services shall be the same as the insurance coverage required for taxis. The commission may review and increase the insurance coverage requirements for dual motor carriers and taxis as necessary in the public interest.
(4) If insurance maintained by a driver under paragraph (2) or (3) has lapsed or does not provide the required coverage, insurance maintained by a transportation network company shall provide the coverage required by this section beginning with the first dollar of a claim, and the transportation network company's insurer shall have the duty to defend such claim.
(5) Coverage under an automobile insurance policy maintained under this section shall be primary and 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.
(6) The automobile insurance required for a transportation network company under paragraph (4) shall be evidenced by the filing of a certificate of insurance. The certificate of insurance must be filed, with the commission, by the insurance carrier and must be in the form specified by the commission by order or regulation.
(7) Insurance required under this subsection shall be placed with an insurer that has obtained a certificate of authority under section 208 of the act of May 17, 1921 (P.L.789, No.285), known as The Insurance Department Act of 1921, or a surplus lines insurer eligible under section 1605 of the act of May 17, 1921 (P.L.682, No.284), known as The Insurance Company Law of 1921.
(8) Insurance satisfying the requirements of this section shall be deemed to satisfy the financial responsibility requirement for a motor vehicle under 75 Pa.C.S. Ch. 17 (relating to financial responsibility).
(9) A transportation network company driver shall carry proof of coverage satisfying paragraphs (2) and (3) when the driver uses a vehicle in connection with a digital network. In the event of an accident, a transportation network company driver shall provide the proof of insurance coverage to the directly interested parties, automobile insurers and investigating police officers under 75 Pa.C.S. § 1786 (relating to required financial responsibility). A transportation network company driver shall also disclose to directly interested parties, automobile insurers and investigating police officers whether the driver was logged on to the digital network or on a prearranged ride at the time of an accident.
(10) It shall be the sole and exclusive responsibility of a transportation network company to ensure that automobile insurance coverage required to be carried by the transportation network company driver under this section is in force prior to permitting a transportation network company driver to provide transportation network service.
(b) Automobile insurance provisions.--
(1) Insurers that write automobile insurance in this Commonwealth may exclude any and all coverage afforded under the policy issued to an owner or operator of a personal vehicle for any loss or injury that occurs while a driver is logged on to a digital network or while a driver provides a prearranged ride. The right to exclude all coverage may apply to any coverage included in an automobile insurance policy, including, but not limited to:
(i) liability coverage for bodily injury and property damage;
(ii) uninsured and underinsured motorist coverage;
(iii) medical payments coverage;
(iv) comprehensive physical damage coverage;
(v) collision physical damage coverage; and
(vi) first-party medical benefits required under subsection (a)(2)(ii).
(2) Notwithstanding any requirement under 75 Pa.C.S. Ch. 17, exclusions under paragraph (1) shall apply. Nothing in this section shall require that a personal automobile insurance policy provide coverage while the driver is logged on to a digital network, while the driver is engaged in a prearranged ride or while the driver otherwise uses a vehicle to transport passengers for compensation. Nothing in this subsection shall be deemed to preclude an insurer from providing coverage for the personal vehicle if the insurer chooses to do so by contract or endorsement.
(3) Automobile insurers that exclude the coverage described in paragraph (1) shall have no duty to defend or indemnify any claim expressly excluded under the coverage. Nothing in this section shall be deemed to invalidate or limit an exclusion contained in a personal insurance policy, including any policy in use or approved for use in this Commonwealth prior to the enactment of this section, that excludes coverage for vehicles used to carry persons or property for a charge or available for hire by the public.
(4) An automobile insurer that defends or indemnifies a claim against a driver that is excluded under the terms of its policy shall have a right of contribution against other insurers that provide automobile insurance to the same driver in satisfaction of the coverage requirements of subsection (a) at the time of loss.
(5) In a claims coverage investigation, transportation network companies and any insurer potentially providing coverage under subsection (a) shall cooperate to facilitate the exchange of relevant information with directly involved parties and any insurer of the transportation network company driver, if applicable, including the precise times that a transportation network company driver logged on and logged off of the digital network in the 12-hour period immediately preceding and in the 12-hour period immediately following the accident and disclose a clear description of the coverage, exclusions and limits provided under any automobile insurance maintained under subsection (a).
(c) Waiver of liability prohibited.--
(1) A transportation network company or transportation network company driver may not request or require a passenger to sign a waiver of potential liability for a loss of personal property or injury.
(2) A transportation network company may not request or require a transportation network company driver to sign a waiver of potential liability for a loss of personal property or injury.
(3) For the purposes of this subsection, signing a waiver shall include requiring a prospective customer to agree to the terms and conditions required to download a digital application as a condition for obtaining transportation network services.
Cross References.
Section 2603.1 is referred to in sections 2603.2, 2604.1, 2605 of this title.