A bill that would have raised insurance coverage requirements on Uber and Lyft in Iowa has been sidelined at the statehouse. Republican Representative David Sieck of Glenwood says a state law passed in 2016 just established statewide standards for ride-sharing services.
“If we do this, it’s going to completely throw everything in a tail spin and we’ll have to start all over,” Sieck says. “….They were pretty intense negotiations and every seemed pretty happy, so I don’t know what the impetus on trying to do this is.”
Representative David Maxwell, a Republican from Gibson, agreed to table the proposal.
“Right now, I’m going to mark it for indefinite postponement,” Maxwell says.
The bill would have shifted insurance requirements from drivers to the ride sharing companies. Maxwell says he and two other legislators on a House subcommittee didn’t have enough time to review a proposal they received minutes before they were to vote on it. Plus, Maxwell says he’s not that familiar with how ride-sharing companies work.
Sieck has used both Uber and Uber Eats.
“That’s pretty amazing because you can see the vehicle, where it’s at, when it’s at the restaurant, projected time when it’s going to be at your place,” Sieck says. “I was sitting at a hotel and really didn’t want to go out and I thought that was pretty nifty, so I’m pretty impressed with their services.”
Current state law requires Uber and Lyft drivers to have personal insurance on their vehicle and the ride-sharing companies have insurance covering the duration of the passenger’s ride.