What the Common Sense Ride-Sharing Regulation Means to You

Thinking about driving for a ride-sharing service? For most driver’s it’s an excellent idea but in some cities and states, you might run into some extra, unexpected regulations. These include fingerprinting, insurance, drug testing, and licensing. While most of those regulations are commonplace in similar industries, Uber and Lyft are fighting them on behalf of their drivers.

However, some new rules are different. As states begin to see the real value of ride-sharing services they are starting to create better legislation for them. These “Common Sense” ride-sharing regulations still provide the safety measures that states want but aren’t as harsh on who they disqualify from driving.

New Regulations

Uber driver requirements and those of other ride-sharing services are relatively straightforward. They aren’t unreasonably strict, and they do impose some rules.

In some areas, however, the regulations imposed were more than either Uber or Lyft was willing to bear.

In Austin, Texas the services left due to strict, mandated fingerprint background checks. Though both companies require background checks at present, they only go back seven years and, due to the way they are obtained, may contain omissions. Since the new regulations have gone into place, there has been no relevant change in criminal activity.

In Michigan, the new legislation has a better balance of tests and benefits for the driver. Though it includes background checks and drug testing it also requires the transportation network company to provide full insurance coverage for drivers, passengers, and other motorists in case of an accident.

Benefits for Drivers and the Community

Massachusetts, on the other hand, seems to have gotten things right. Uber and Lyft have both supported the most recent bill in this state, especially after a much harsher bill had already passed. This bill includes a mandatory tipping option for all ride-for-hire drivers, insurance coverage similar to what Uber and Lyft offer now and no fingerprinting.

The one thing it does that is unique among other bills of this type is a 10 cent per ride “assessment.” The fee will be paid by the company, not the driver, and be given to the city or town where the trip began. The money will be used for local transportation-related spending.

What It All Means – For Now

As uncomfortable as it may be, regulations are still shifting. For now, it looks like any law your state may have is there to stay. For most, this means rules that look a lot like those for traditional taxicab drivers- better background checks and some form of official state registration or licensing. For some, it may also come with the benefit of more tipping options and better insurance coverage by the ride-sharing company itself.

If you’re worried that if you start driving now, a new regulation might prevent you from keeping your job, it’s important to remember that you will always have a reasonable adjustment period. This should give you time to find a way to comply or find a new job. No matter if you choose Uber, Lyft, or one of the other companies popping up in areas they have abandoned, prepare to deal with a few state regulations.

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