Management & Operations

Carsharing services face stricter rules from N.J. lawmakers

Posted on December 15, 2014

NEWARK, N.J. — New Jersey lawmakers today took the first step toward regulating new and growing “ridesharing” services like Uber and Lyft by approving a bill that would require them to apply for permits with the New Jersey Motor Vehicle Commission, NJ Advance Media reported.

RELATED: Will Uber service customers with disabilities?

The bill also requires proof that the company provides insurance of up to $250,000 per incident from the moment a driver opens the app that allows him to accept fares, as well as $10,000 for medical insurance coverage, the report said.

The drivers would also have to seek an endorsement on their licenses from the MVC certifying that their license is valid, their vehicles have been inspected and they have clean driving and criminal background histories. They would have their license, registration and insurance checked annually, and their criminal backgrounds checked every three years. Drivers would also have to take a drug test, according to NJ Advance Media.

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