2023 Tennessee Code › Title 55 - MOTOR AND OTHER VEHICLES (§§ 55-1-101 — 55-53-105) › Chapter 12 - FINANCIAL RESPONSIBILITY LAW (§§ 55-12-101 — 55-12-311) › Part 1 - FINANCIAL RESPONSIBILITY LAWSHORT TITLE (§§ 55-12-101 — 55-12-142) › Section 55-12-141 - Automobile insurance coverage for driver while logged on to transportation network company's digital network or while engaged in prearranged ride

(a)
As used in this section:
(1)
"Digital network" means any online-enabled application, software, website, or system offered or utilized by a transportation network company that enables the prearrangement of rides with transportation network company drivers;
(2)
"Personal vehicle" means a vehicle that is used by a transportation network company driver and is:
(A)
Owned, leased, or otherwise authorized for use by the transportation network company driver; and
(B)
Not a taxicab, limousine, or for-hire vehicle;
(3)
"Prearranged ride" means the provision of transportation by a driver to a rider, beginning when a driver accepts a ride requested by a rider through a digital network controlled by a transportation network company, continuing while the driver transports a requesting rider, and ending when the last requesting rider departs from the personal vehicle. A prearranged ride does not include:
(A)
Shared expense carpool or vanpool arrangements provided by businesses engaged in the rental of motor vehicles; or
(B)
Transportation provided using a taxi, limousine, or other for-hire vehicle regulated pursuant to §
7-51-1003
;
(4)
"Transportation network company" means a corporation, partnership, sole proprietorship, or other entity operating in this state that uses a digital network to connect transportation network company riders to transportation network company drivers who provide prearranged rides. A transportation network company shall not be deemed to control, direct, or manage the personal vehicles or transportation network company drivers that connect to its digital network, except where agreed to by written contract;
(5)
"Transportation network company driver" or "driver" means an individual who:
(A)
Receives connections to potential passengers and related services from a transportation network company in exchange for payment of a fee to the transportation network company; and
(B)
Uses a personal vehicle to offer or provide a prearranged ride to riders upon connection through a digital network controlled by a transportation network company in return for compensation or payment of a fee; and
(6)
"Transportation network company rider" or "rider" means a person or persons who use a transportation network company's digital network to connect with a transportation network driver who provides prearranged rides to the rider in the driver's personal vehicle between points chosen by the rider.
(b)
On and after January 1, 2016, 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 while the driver is logged on to the transportation network company's digital network or while the driver is engaged in a prearranged ride.
(c)
The following automobile insurance requirements shall apply while a transportation network company driver is logged on to the transportation network company's digital network but is not engaged in a prearranged ride:
(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)
The automobile liability insurance required under this section shall comply with §
56-7-1201
; and
(3)
The coverage requirements of this subsection (c) 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 subdivisions (c)(3)(A) and (B).
(d)
The following automobile insurance requirements shall apply while a transportation network company driver is engaged in a prearranged ride:
(1)
Primary automobile liability insurance that provides at least one million dollars ($1,000,000) for death, bodily injury, and property damage;
(2)
The automobile liability insurance required under this section shall comply with §
56-7-1201
; and
(3)
The coverage requirements of this subsection (d) 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 subdivisions (d)(3)(A) and (B).
(e)
If insurance maintained by a driver under subsection (c) or (d) 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 have the duty to defend such claim.
(f)
Coverage under an automobile insurance policy maintained by the transportation network company pursuant to this section 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.
(g)
Insurance required by this section may be placed with an insurer authorized to do business in this state under title 56 or with a surplus lines insurer eligible under title 56, chapter 14.
(h)
Insurance satisfying the requirements of this section shall be deemed to satisfy the financial responsibility requirements for a motor vehicle under this part while a driver is logged on to the transportation network company's digital network or while the driver is engaged in a prearranged ride; provided, however, nothing in this section shall relieve a motor vehicle driver not logged on to the transportation network company's digital network or not engaged in a prearranged ride from the financial responsibility requirements for a motor vehicle under this part.
(i)
A transportation network company driver shall carry proof of coverage satisfying subsections (c) and (d) at all times during the driver's use of a vehicle in connection with a transportation network company's digital network. In the event of an accident, a transportation network company driver shall provide this insurance coverage information to the directly involved parties, automobile insurers, and investigating police officers, upon request made pursuant to §
55-12-139
. Upon such request, a transportation network company driver shall also disclose to directly involved parties, automobile insurers, and investigating police officers, whether the driver was logged on to the transportation network company's digital network or on a prearranged ride at the time of the accident.
(j)
The transportation network company shall disclose, in writing, to a transportation network company driver the following before the driver is allowed to accept a request for a prearranged ride on the transportation network company's digital network:
(1)
The insurance coverage, including the types of coverage and the limits for each coverage that the transportation network company provides while the transportation network company driver uses a personal vehicle in connection with a transportation network company's digital network; and
(2)
That the transportation network company driver's personal automobile insurance policy might not provide any coverage while the driver is logged on to the transportation network company's digital network or is engaged in a prearranged ride, depending on its terms.
Added by 2015 Tenn. Acts, ch. 520,s 2, eff. 5/20/2015.