July 6, 2016 by Canadian Underwriter
Aon Risk Solutions is offering tailor-made personal line insurance policies that recognize ridesharing to the hundreds of Uber drivers who require coverage in Alberta.
There are no restrictions related to driver age, years licensed or the amount of weekly ridesharing hours, notes a statement this week from Aon Risk Solutions, the global risk management business of Aon plc.
The announcement follows Alberta’s move to become the first province in the country, effective July 1, to offer a new insurance policy for transportation network companies (TNCs) to insurance companies licensed in Alberta.
Alberta’s Superintendent of Insurance has approved the ridesharing insurance solution designed for TNCs and their drivers.
The policy will cover “all TNC drivers from the moment they log into their TNC’s mobile app to provide rides for hire,” reports the Government of Alberta. It will cover statutory accident benefits for all three periods: Period 1, which begins when the TNC driver activates the TNC app with no passengers, and Periods 2 and 3 are activated when the fare is accepted and when the TNC driver has picked up a passenger.
As Uber’s insurance broker, Aon worked directly with the transportation facilitator and insurers to build a customized personal line insurance solution that meets the needs of Uber drivers, passengers and the Superintendent of Insurance of Alberta’s mandate to provide access to insurance protection.
“Ridesharing continues to grow at a rapid pace and is changing how we travel,” Caroline Mills-White, senior vice president of personal lines for Aon Risk Solutions in Canada, says in the statement. “As a result, insurance must evolve to meet the changing needs of drivers and passengers alike in Alberta,” Mills-White adds.
“Aon is excited about offering Uber drivers this new product through Intact and Pembridge,” the statement notes.
Shortly after the Alberta government announcement, Intact Financial Corporation (IFC) reported it will be providing coverage to Uber, with every ridesharing driver operating on the platform in Alberta automatically covered under the new ridesharing policy, when purchased by Uber, from the instant a ride is accepted until the passengers have exited the vehicle.
As of Aug. 1, Aviva Canada’s offering is available to Alberta drivers who carry paying passengers in their vehicles. The ridesharing coverage is an add-on to an Aviva Canada customer’s existing personal auto policy.
Eligibility for coverage will be based on some simple underwriting criteria, including a maximum of eight passengers, licensed for at least six years and no other commercial use. The coverage is available for drivers who spend as long as 20 hours per week taking part in ridesharing.
As for Pembridge Insurance, the insurer launched its solution for Alberta drivers who provide ride-for-hire services through TNCs. Effective July 1, coverage will be available for these drivers through the insurer in the form of an endorsement that extends coverage under the standard personal automobile policy to vehicles used as transportation network automobiles.