The private transportation industry has undergone something of a dramatic transformation over the last several years thanks to the advent of ride-sharing companies like Uber and Lyft. Gone are the days of arranging a ride in advance or waiting for a taxi company to send a vehicle your way, and in are the days of instantly locating a ride with just a few swipes of your finger.
For those unfamiliar with what ride-sharing companies actually do, they allow prospective fares to arrange rides with drivers in their immediate vicinity via smartphone apps. Here, the drivers are under contract with the ride-sharing company, but use their own vehicles to transport passengers.
While this approach has proven successful from a business standpoint, it has also raised certain concerns regarding public safety.
In particular, state lawmakers have long been concerned that many of the drivers in the ride-sharing industry are lacking the necessary amount of insurance, such that passengers injured -- or worse -- in car accidents wouldn't be adequately covered.