Longueuil, QC (Sept. 11, 2015) – Following the announcement of a cooperation agreement between Intact Financial Corporation and Uber, brokers are warning UberX users that they are still not covered despite the new agreement.
As the official voice of over 4,400 insurance brokers, the Regroupement des cabinets de courtage d’assurance du Québec is issuing a consumer warning stemming from concerns that the agreement between Intact Financial Corporation and Uber may lead UberX drivers to believe that insurance coverage is in place to protect them. That is far from being the case given the legislative vacuum surrounding Uber’s services. As a result, the RCCAQ must sound the alarm.
UberX enables private individuals to provide transportation services using their personal vehicles in exchange for payment based on time and distance traveled. According to RCCAQ chair Vincent Gaudreau, insurance for UberX drivers remains a contentious issue:
“Uber features a commercial car sharing service provided by drivers who don’t have taxi licences and who aren’t commercially registered. The government has yet to take an official stance. Given the confusion surrounding this issue, there is an urgent need for a carefully designed regulatory framework. All of this begs the question: how can something be insured if it’s not legal?”
This question remains unanswered.
Insurance brokers: a valuable source of information
Mr. Gaudreau provided this reminder: “Paid transportation services are not covered by the basic insurance contract, which is known in Quebec as Form FPQ 1. That means that in the event of an accident, UberX drivers would not be covered by their personal insurance. Even worse, they run the risk of having their insurance policy invalidated due to omissions or false statements.”
The agreement between Uber and Intact seems to suggest that a solution is just around the corner. Thus far, however, no specific insurance products are available in this regard.
Mr. Gaudreau advises all persons interested in offering UberX services using their personal vehicle to ensure that it is properly registered for commercial use. This is also an opportunity for consumers to contact their insurance brokers and to confirm exactly what is covered in their auto insurance policy. “Keep in mind that brokers are always there to assist you. They will ensure that you receive the advice you need to make the right choices. Please don’t hesitate to consult them.”
About the RCCAQ
The Regroupement des cabinets de courtage d’assurance du Québec (RCCAQ) is a professional association that seeks to promote and defend the socio-economic interests of its member firms. It represents over 4,400 brokers at some 570 firms and branch offices around the province.
SOURCE: Regroupement des cabinets de courtage d’assurance du Québec