CSSB 58(L&C): "An Act relating to transportation network companies and drivers; relating to transportation network company and driver automobile insurance; relating to workers' compensation for horse carriage services and transportation network company drivers; and providing for an effective date."
00 CS FOR SENATE BILL NO. 58(L&C) 01 "An Act relating to transportation network companies and drivers; relating to 02 transportation network company and driver automobile insurance; relating to workers' 03 compensation for horse carriage services and transportation network company drivers; 04 and providing for an effective date." 05 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 06 * Section 1. AS 21.96 is amended by adding a new section to read: 07 Sec. 21.96.018. Transportation network company insurance provisions. (a) 08 Insurers that write automobile insurance in the state may exclude any and all coverage 09 offered under the policy issued to an owner or operator of a personal vehicle for any 10 loss or injury that occurs while a driver is logged onto the digital network of a 11 transportation network company or while a driver provides a prearranged ride. The 12 right to exclude all coverage may apply to any coverage included in an automobile 13 insurance policy, including 14 (1) liability coverage for bodily injury and property damage;
01 (2) personal injury protection coverage; 02 (3) uninsured and underinsured motorist coverage; 03 (4) medical payments coverage; 04 (5) comprehensive physical damage coverage; and 05 (6) collision physical damage coverage. 06 (b) Exclusions under (a) of this section apply notwithstanding any requirement 07 under AS 28.20. Nothing in this section implies or requires that a personal automobile 08 insurance policy provide coverage while the driver is logged onto the digital network 09 of a transportation network company, while the driver is engaged in a prearranged 10 ride, or while the driver otherwise uses a personal vehicle to transport passengers for 11 compensation. 12 (c) Nothing in this section precludes an insurer from providing coverage for 13 the personal vehicle of a transportation network company driver if the insurer chooses 14 to provide coverage by contract or endorsement. 15 (d) Automobile insurers that exclude coverage under (a) of this section do not 16 have a duty to defend or indemnify any claim expressly excluded under (a) of this 17 section. Nothing in this section may be considered to invalidate or limit an exclusion 18 contained in a policy, including any policy in use or approved for use in this state 19 before the enactment of this section, that excludes coverage for vehicles used to carry 20 persons or property for a charge or available for hire by the public. 21 (e) An automobile insurer that defends or indemnifies a claim against a driver 22 that is excluded under the terms of its policy shall have a right of contribution against 23 other insurers that provide automobile insurance to the same driver in satisfaction of 24 the coverage requirements of AS 28.23.010 at the time of loss. 25 (f) In a claims coverage investigation, a transportation network company and 26 any insurer potentially providing coverage under AS 28.23.010 shall cooperate to 27 facilitate the exchange of relevant information with directly involved parties and any 28 insurer of the transportation network company driver, if applicable, including the 29 precise times that a transportation network company driver logged onto and off of the 30 digital network of a transportation network company in the 12-hour period 31 immediately preceding and in the 12-hour period immediately following the accident
01 and disclose to one another a clear description of the coverage, exclusions, and limits 02 provided under any automobile insurance maintained under AS 28.23.010. 03 * Sec. 2. AS 21.96 is amended by adding a new section to read: 04 Sec. 21.96.200. Definitions. In this chapter, 05 (1) "digital network" means any online-enabled application, software, 06 website, or system offered or used by a transportation network company that enables 07 the prearrangement of rides with transportation network company drivers; 08 (2) "personal vehicle" means a motor vehicle that is used by a 09 transportation network company driver and is owned, leased, or otherwise authorized 10 for use by the transportation network company driver; "personal vehicle" does not 11 include a taxi, limousine, or other commercial motor vehicle for hire; 12 (3) "prearranged ride" means transportation provided by a driver to a 13 rider, beginning when a driver accepts a ride requested by a rider through a digital 14 network controlled by a transportation network company, continuing while the driver 15 transports a requesting rider, and ending when the last requesting rider departs from 16 the personal vehicle; "prearranged ride" does not include shared expense carpool or 17 vanpool arrangements or transportation provided using a taxi, limousine, or other 18 commercial motor vehicle for hire; 19 (4) "transportation network company" means a corporation, 20 partnership, sole proprietorship, or other entity operating in the state that uses a digital 21 network to connect transportation network company riders to transportation network 22 company drivers who provide prearranged rides; a transportation network company 23 may not be considered to control, direct, or manage the personal vehicles or 24 transportation network company drivers that connect to its digital network, except 25 where agreed to by written contract; 26 (5) "transportation network company driver" or "driver" means an 27 individual who 28 (A) receives connections to potential passengers and related 29 services from a transportation network company in exchange for payment of a 30 fee to the transportation network company; and 31 (B) uses a personal vehicle to offer or provide a prearranged
01 ride to riders upon connection through a digital network controlled by a 02 transportation network company in return for compensation or payment of a 03 fee; 04 (6) "transportation network company rider" or "rider" means an 05 individual or person who uses a digital network of a transportation network company 06 to connect with a transportation network company driver who provides prearranged 07 rides to the rider in the driver's personal vehicle between points chosen by the rider. 08 * Sec. 3. AS 23.30.230(a) is amended to read: 09 (a) The following persons are not covered by this chapter: 10 (1) a part-time baby-sitter; 11 (2) a cleaning person; 12 (3) harvest help and similar part-time or transient help; 13 (4) a person employed as a sports official on a contractual basis and 14 who officiates only at sports events in which the players are not compensated; in this 15 paragraph, "sports official" includes an umpire, referee, judge, scorekeeper, 16 timekeeper, organizer, or other person who is a neutral participant in a sports event; 17 (5) a person employed as an entertainer on a contractual basis; 18 (6) a commercial fisherman, as defined in AS 16.05.940; 19 (7) an individual who drives a taxicab whose compensation and written 20 contractual arrangement is as described in AS 23.10.055(a)(13), unless the hours 21 worked by the individual or the areas in which the individual may work are restricted 22 except to comply with local ordinances; 23 (8) a participant in the Alaska temporary assistance program 24 (AS 47.27) who is engaged in work activities required under AS 47.27.035 other than 25 subsidized or unsubsidized work or on-the-job training; 26 (9) a person employed as a player or coach by a professional hockey 27 team if the person is covered under a health care insurance plan provided by the 28 professional hockey team, the coverage is applicable to both work related and 29 nonwork related injuries, and the coverage provides medical and related benefits as 30 required under this chapter, except that coverage may not be limited to two years from 31 the date of injury as described under AS 23.30.095(a); in this paragraph, "health care
01 insurance" has the meaning given in AS 21.12.050; [AND] 02 (10) a person working as a qualified real estate licensee who performs 03 services under a written contract that provides that the person will not be treated as an 04 employee for federal income tax or workers' compensation purposes; in this 05 paragraph, "qualified real estate licensee" means a person who is required to be 06 licensed under AS 08.88.161 and whose payment for services is directly related to 07 sales or other output rather than the number of hours worked; 08 (11) a person who operates a horse carriage service; and 09 (12) a transportation network company driver who provides a 10 prearranged ride or is otherwise logged onto the digital network of a 11 transportation network company as a driver. 12 * Sec. 4. AS 23.30.230(c) is amended by adding new paragraphs to read: 13 (4) "digital network" means any online-enabled application, software, 14 website, or system offered or used by a transportation network company that enables 15 the prearrangement of rides with transportation network company drivers; 16 (5) "personal vehicle" means a motor vehicle that is used by a 17 transportation network company driver and is owned, leased, or otherwise authorized 18 for use by the transportation network company driver; "personal vehicle" does not 19 include a taxi, limousine, or other commercial motor vehicle for hire; 20 (6) "prearranged ride" means transportation provided by a driver to a 21 rider, beginning when a driver accepts a ride requested by a rider through a digital 22 network controlled by a transportation network company, continuing while the driver 23 transports a requesting rider, and ending when the last requesting rider departs from 24 the personal vehicle; "prearranged ride" does not include shared expense carpool or 25 vanpool arrangements or transportation provided using a taxi, limousine, or other 26 commercial motor vehicle for hire; 27 (7) "transportation network company" means a corporation, 28 partnership, sole proprietorship, or other entity operating in the state that uses a digital 29 network to connect transportation network company riders to transportation network 30 company drivers who provide prearranged rides; a transportation network company 31 may not be considered to control, direct, or manage the personal vehicles or
01 transportation network company drivers that connect to its digital network, except 02 where agreed to by written contract; 03 (8) "transportation network company driver" or "driver" means an 04 individual who 05 (A) receives connections to potential passengers and related 06 services from a transportation network company in exchange for payment of a 07 fee to the transportation network company; and 08 (B) uses a personal vehicle to offer or provide a prearranged 09 ride to riders upon connection through a digital network controlled by a 10 transportation network company in return for compensation or payment of a 11 fee; 12 (9) "transportation network company rider" or "rider" means an 13 individual or person who uses a digital network of a transportation network company 14 to connect with a transportation network company driver who provides prearranged 15 rides to the rider in the driver's personal vehicle between points chosen by the rider. 16 * Sec. 5. AS 28 is amended by adding a new chapter to read: 17 Chapter 23. Transportation Network Companies and Drivers. 18 Sec. 28.23.010. Financial responsibility of transportation network 19 companies. (a) A transportation network company driver or transportation network 20 company on behalf of the driver shall maintain primary automobile insurance that 21 recognizes that the driver is a transportation network company driver or otherwise 22 uses a vehicle to transport passengers for compensation and that covers the driver 23 while the driver is logged onto the digital network of a transportation network 24 company or while the driver is engaged in a prearranged ride. 25 (b) The following automobile insurance requirements shall apply while a 26 participating transportation network company driver is logged onto the digital network 27 of a transportation network company and is available to receive transportation requests 28 but is not engaged in a prearranged ride: 29 (1) primary automobile liability insurance in the amount of at least 30 $50,000 for death and bodily injury for each person, $100,000 for death and bodily 31 injury for each incident, and $25,000 for property damage;
01 (2) the coverage requirements of this subsection may be satisfied by 02 any of the following: 03 (A) automobile insurance maintained by the transportation 04 network company driver; 05 (B) automobile insurance maintained by the transportation 06 network company; or 07 (C) any combination of (A) and (B) of this paragraph. 08 (c) The following automobile insurance requirements shall apply while a 09 transportation network company driver is engaged in a prearranged ride: 10 (1) primary automobile liability insurance that provides at least 11 $1,000,000 for death, bodily injury, and property damage; 12 (2) the coverage requirements of this subsection may be satisfied by 13 any of the following: 14 (A) automobile insurance maintained by the transportation 15 network company driver; 16 (B) automobile insurance maintained by the transportation 17 network company; or 18 (C) any combination of (A) and (B) of this paragraph. 19 (d) If insurance maintained by a driver under (b) or (c) of this section has 20 lapsed or does not provide the required coverage, insurance maintained by a 21 transportation network company must provide the coverage required by this section 22 beginning with the first dollar of a claim, and the transportation network company has 23 the duty to defend that claim. 24 (e) Coverage under an automobile insurance policy maintained by the 25 transportation network company may not be dependent on a personal automobile 26 insurer first denying a claim nor shall a personal automobile insurance policy be 27 required first to deny a claim. 28 (f) Insurance required by this section may be placed with an insurer licensed 29 under AS 21.09.010 or with a surplus lines insurer eligible under AS 21.34. 30 (g) Insurance satisfying the requirements of this section shall be considered to 31 satisfy the financial responsibility requirement for a motor vehicle under AS 28.20.
01 (h) A transportation network company driver shall carry proof of coverage 02 under (b) and (c) of this section with the driver at all times during the driver's use of a 03 vehicle in connection with a digital network of a transportation network company. In 04 the event of an accident, a transportation network company driver shall provide the 05 insurance coverage information to the directly interested parties, automobile insurers, 06 and investigating police officers upon request under AS 28.22.019. Upon that request, 07 a transportation network company driver shall also disclose to directly interested 08 parties, automobile insurers, and investigating police officers whether the driver was 09 logged onto the digital network of a transportation network company or on a 10 prearranged ride at the time of an accident. 11 Sec. 28.23.015. Transportation network company automobile insurance 12 disclosures. A transportation network company shall disclose in writing to 13 transportation network company drivers the following before the drivers are allowed 14 to accept a request for a prearranged ride on the digital network of the transportation 15 network company: 16 (1) the insurance coverage, including the types of coverage and the 17 limits for each coverage, that the transportation network company provides while the 18 transportation network company driver uses a personal vehicle in connection with a 19 transportation network company's digital network; and 20 (2) that the automobile insurance policy of the transportation network 21 company driver might not provide any coverage while the driver is logged onto the 22 digital network of a transportation network company and is available to receive 23 transportation requests or is engaged in a prearranged ride, depending on the terms of 24 the automobile insurance policy of the driver. 25 Sec. 28.23.200. Definitions. In this chapter, 26 (1) "digital network" means any online-enabled application, software, 27 website, or system offered or used by a transportation network company that enables 28 the prearrangement of rides with transportation network company drivers; 29 (2) "personal vehicle" means a motor vehicle that is used by a 30 transportation network company driver and is owned, leased, or otherwise authorized 31 for use by the transportation network company driver; "personal vehicle" does not
01 include a taxi, limousine, or other commercial motor vehicle for hire; 02 (3) "prearranged ride" means transportation provided by a driver to a 03 rider, beginning when a driver accepts a ride requested by a rider through a digital 04 network controlled by a transportation network company, continuing while the driver 05 transports a requesting rider, and ending when the last requesting rider departs from 06 the personal vehicle; "prearranged ride" does not include shared expense carpool or 07 vanpool arrangements or transportation provided using a taxi, limousine, or other 08 commercial motor vehicle for hire; 09 (4) "transportation network company" means a corporation, 10 partnership, sole proprietorship, or other entity operating in the state that uses a digital 11 network to connect transportation network company riders to transportation network 12 company drivers who provide prearranged rides; a transportation network company 13 may not be considered to control, direct, or manage the personal vehicles or 14 transportation network company drivers that connect to its digital network, except 15 where agreed to by written contract; 16 (5) "transportation network company driver" or "driver" means an 17 individual who 18 (A) receives connections to potential passengers and related 19 services from a transportation network company in exchange for payment of a 20 fee to the transportation network company; and 21 (B) uses a personal vehicle to offer or provide a prearranged 22 ride to riders upon connection through a digital network controlled by a 23 transportation network company in return for compensation or payment of a 24 fee; 25 (6) "transportation network company rider" or "rider" means an 26 individual or person who uses a digital network of a transportation network company 27 to connect with a transportation network company driver who provides prearranged 28 rides to the rider in the driver's personal vehicle between points chosen by the rider. 29 * Sec. 6. The uncodified law of the State of Alaska is amended by adding a new section to 30 read: 31 APPLICABILITY. Sections 3 and 4 of this Act apply to all claims or proceedings
01 pending on or after the effective date of secs. 3 and 4 this Act relating to acts or injuries 02 occurring before, on, or after the effective date of secs. 3 and 4 this Act. 03 * Sec. 7. The uncodified law of the State of Alaska is amended by adding a new section to 04 read: 05 RETROACTIVITY. Sections 3, 4, and 6 of this Act are retroactive to January 1, 2014. 06 * Sec. 8. Section 5 of this Act takes effect July 1, 2015. 07 * Sec. 9. Except as provided in sec. 8 of this Act, this Act takes effect immediately under 08 AS 01.10.070(c).