Uber has been working hard to make their services increasingly reliable. In a Sept. 8 press release, Uber announced that they recently hooked up with Intact Financial, an insurance provider, in order to work on being able to provide drivers with secure insurance in the near future.
“We have been working with Intact Financial to develop an innovative, new insurance plan for ridesharing in Canada that we hope will come to market soon,” explained the Sept. 8 press release. “This plan will be the first of its kind designed exclusively for the ridesharing industry in Canada.”
Since Uber began almost six-years-ago, the company has faced many challenges, including overall safety concerns, complying with bylaws, and dealing with traditional cab companies that would rather not have Uber drivers on the road.
However, one of the biggest challenges faced by Uber drivers has been dealing with personal auto insurance companies. It has been difficult for Uber drivers to find their own insurance, since many auto insurance companies do not support using a personal car for commercial use.
Due to most auto insurance policies, becoming an Uber driver means decreasing the likelihood of being insured, which puts drivers at serious risk when it comes to protecting themselves against collisions and other vehicle-related incidents. For some, this has meant lying to their own insurance companies, which puts drivers at further financial risk.
Uber is a unique service that has never been dealt with before, which is why conventional laws and insurance policies are not able to accommodate the company.
Uber has also had difficulty becoming recognized as an authorized cab company in many cities, mainly due to the backlash that conventional cab companies have had against the new business. Guelph, for example, does not allow Uber drivers to offer services within the city.
Uber, along with similar services, has changed the foundation of cab transportation. Other companies with similar business plans, such as Airbnb, Autotrader, Kijiji, CouchSurfing, and HomeExchange, have changed the way services are traded.
Recently, five people have been charged in Guelph for operating as Uber drivers within the city. This is not the first time a driver has been charged in the city – another driver was charged early in September for working as a driver within Guelph.
Currently, only drivers from Red Top Taxi, Canadian Cab, or Guelph Taxi are allowed to provide cabbing services in Guelph. Any other drivers, including Uber drivers, are considered to be offering unauthorized transportation services.
Uber continues to promise that their services will be improved, and offering drivers’ insurance will make it safer for drivers, as well as passengers, to participate in the service.
About
The Ontarion publishes independent, student-produced news, opinion, and commentary for University of Guelph students so that they can make informed decisions in their lives. To do this, The Ontarion provides learning opportunities and training in journalism, media production, leadership, board governance, and other aspects of nonprofit news.
The Ontarion is the University of Guelph’s independent student newspaper. It began in 1951 as part of the Ontario Agricultural College and then began to represent the entire University of Guelph once it amalgamated in 1964. The Ontarion incorporated in May 1970 as The Ontarion, Inc., a not-for-profit corporation registered with the province of Ontario.