American Property Casualty Insurance Association
  • Staff Contact: Jeffrey Brewer     
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Contact:

Jeffrey Brewer

Kevin Martin

Phone:

847-553-3763

217-789-1010

Email:

Jeffrey.brewer@pciaa.net

kjmartin@illinoisinsurance.org

 

 

FOR RELEASE ON RECEIPT

August 25, 2014

Insurance Trade Groups Urge Illinois Legislature to Override Ridesharing Veto

 

CHICAGO – The Illinois Insurance Association and the Property Casualty Insurers Association of America expressed disappointment today in Governor Pat Quinn’s veto of ridesharing legislation, (HB 4075 and 5331) that would have protected consumers by closing the gaps in insurance coverage that leave drivers, passengers and the public vulnerable if an accident occurs.

Illinois is among several state legislatures that have taken up the issue and a host of cities including Chicago that have considered ordinances to regulate or outright prohibit their operation. More than 20 state agencies as well as the National Association of Insurance Commissioners (NAIC) have issued consumer warning and alerts highlighting the potential insurance coverage gaps that may exist for ridesharing firms also known as transportation network companies (TNC) drivers and passengers.

“PCI is deeply disappointed in this veto because it is vitally important that the vehicles used by commercial ride-sharing services are properly insured and the public is protected,” said Jeffrey Junkas, Illinois regional manager for PCI. “These bills sought to create a comprehensive, uniform statewide approach to protecting consumers and provided a firm foundation for innovation. They offered clear insurance rules that don’t leave policyholders or accident victims in the lurch because of coverage disputes. They also would have helped to avoid the creation of a confusing and costly patch work of local regulations.”

“Illinois is home to a large and growing insurance industry that employs thousands of workers across the state and is committed to protecting Illinois consumers,” said Kevin Martin, executive director of the IIA. “While we welcome new transportation choices in the marketplace, consumer safety is of utmost concern. We supported the provisions in the state house bills as they would have helped to prevent all Illinois drivers from subsidizing the riskier driving activities of a small number of drivers and the companies that facilitate these programs.”

PCI is composed of more than 1,000 member companies, representing the broadest cross-section of insurers of any national trade association. PCI members write over $195 billion in annual premium, 39 percent of the nation’s property casualty insurance. Member companies write 46 percent of the U.S. automobile insurance market, 32 percent of the homeowners market, 37 percent of the commercial property and liability market, and 41 percent of the private workers compensation market.

The Illinois Insurance Association (IIA) is an insurance trade association, which effectively and professionally represents its member companies before the Illinois legislative, executive branch, and media. In addition, the IIA seeks to promote a greater consumer understanding of insurance products. The IIA is the property/casualty insurance industry’s leader in advocating public policy positions before the media, interest groups, and political forces in the state of Illinois.

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