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Public Act 098-1173 | ||||
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AN ACT concerning regulation.
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Be it enacted by the People of the State of Illinois,
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represented in the General Assembly:
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Section 1. Short title. This Act may be cited as the | ||||
Transportation Network Providers Act. | ||||
Section 5. Definitions. | ||||
"Transportation network company" or "TNC" means an entity | ||||
operating in this State that uses a digital network or software | ||||
application service to connect passengers to transportation | ||||
network company services provided by transportation network | ||||
company drivers. A TNC is not deemed to own, control, operate, | ||||
or manage the vehicles used by TNC drivers, and is not a | ||||
taxicab association or a for-hire vehicle owner. | ||||
"Transportation network company driver" or "TNC driver" | ||||
means an individual who operates a motor vehicle that is: | ||||
(1) owned, leased, or otherwise authorized for use by | ||||
the individual; | ||||
(2) not a taxicab or for-hire public passenger vehicle; | ||||
and | ||||
(3) used to provide transportation network company | ||||
services. | ||||
"Transportation network company services" or "TNC | ||||
services" means transportation of a passenger between points |
chosen by the passenger and prearranged with a TNC driver | ||
through the use of a TNC digital network or software | ||
application. TNC services shall begin when a TNC driver accepts | ||
a request for transportation received through the TNC's digital | ||
network or software application service, continue while the TNC | ||
driver transports the passenger in the TNC driver's vehicle, | ||
and end when the passenger exits the TNC driver's vehicle. TNC | ||
service is not a taxicab, for-hire vehicle, or street hail | ||
service. | ||
Section 10. Insurance. | ||
(a) Transportation network companies and participating TNC | ||
drivers shall comply with the automobile liability insurance | ||
requirements of this Section as required. | ||
(b) The following automobile liability insurance | ||
requirements shall apply from the moment a participating TNC | ||
driver logs on to the transportation network company's digital | ||
network or software application until the TNC driver accepts a | ||
request to transport a passenger, and from the moment the TNC | ||
driver completes the transaction on the digital network or | ||
software application or the ride is complete, whichever is | ||
later, until the TNC driver either accepts another ride request | ||
on the digital network or software application or logs off the | ||
digital network or software application: | ||
(1) Automobile liability insurance shall be in the | ||
amount of at least $50,000 for death and personal injury |
per person, $100,000 for death and personal injury per | ||
incident, and $25,000 for property damage. | ||
(2) Contingent automobile liability insurance in the | ||
amounts required in paragraph (1) of this subsection (b) | ||
shall be maintained by a transportation network company and | ||
provide coverage in the event a participating TNC driver's | ||
own automobile liability policy excludes coverage | ||
according to its policy terms or does not provide at least | ||
the limits of coverage required in paragraph (1) of this | ||
subsection (b). | ||
(c) The following automobile liability insurance | ||
requirements shall apply from the moment a TNC driver accepts a | ||
ride request on the transportation network company's digital | ||
network or software application until the TNC driver completes | ||
the transaction on the digital network or software application | ||
or until the ride is complete, whichever is later:
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(1) Automobile liability insurance shall be primary | ||
and in the amount of $1,000,000 for death, personal injury, | ||
and property damage. The requirements for the coverage | ||
required by this paragraph (1) may be satisfied by any of | ||
the following:
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(A) automobile liability insurance maintained by a | ||
participating TNC driver;
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(B) automobile liability company insurance | ||
maintained by a transportation network company; or
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(C) any combination of subparagraphs (A) and (B).
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(2) Insurance coverage provided under this subsection | ||
(c) shall also provide for uninsured motorist coverage and | ||
underinsured motorist coverage in the amount of $50,000 | ||
from the moment a passenger enters the vehicle of a | ||
participating TNC driver until the passenger exits the | ||
vehicle.
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(3) The insurer, in the case of insurance coverage | ||
provided under this subsection (c), shall have the duty to | ||
defend and indemnify the insured.
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(4) Coverage under an automobile liability insurance | ||
policy required under this subsection (c) shall not be | ||
dependent on a personal automobile insurance policy first | ||
denying a claim nor shall a personal automobile insurance | ||
policy be required to first deny a claim. | ||
(d) In every instance when automobile liability insurance | ||
maintained by a participating TNC driver to fulfill the | ||
insurance obligations of this Section has lapsed or ceased to | ||
exist, the transportation network company shall provide the | ||
coverage required by this Section beginning with the first | ||
dollar of a claim. | ||
(e) This Section shall not limit the liability of a | ||
transportation network company arising out of an automobile | ||
accident involving a participating TNC driver in any action for | ||
damages against a transportation network company for an amount | ||
above the required insurance coverage. | ||
(f) The transportation network company shall disclose in |
writing to TNC drivers, as part of its agreement with those TNC | ||
drivers, the following:
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(1) the insurance coverage and limits of liability that | ||
the transportation network company provides while the TNC | ||
driver uses a vehicle in connection with a transportation | ||
network company's digital network or software application; | ||
and
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(2) that the TNC driver's own insurance policy may not | ||
provide coverage while the TNC driver uses a vehicle in | ||
connection with a transportation network company digital | ||
network depending on its terms. | ||
(g) An insurance policy required by this Section may be | ||
placed with an admitted Illinois insurer, or with an authorized | ||
surplus line insurer under Section 445 of the Illinois | ||
Insurance Code; and is not subject to any restriction or | ||
limitation on the issuance of a policy contained in Section | ||
445a of the Illinois Insurance Code. | ||
(h) Any insurance policy required by this Section shall | ||
satisfy the financial responsibility requirement for a motor | ||
vehicle under Sections 7-203 and 7-601 of the Illinois Vehicle | ||
Code. | ||
Section 15. Driver requirements. | ||
(a) Prior to permitting an individual to act as a TNC | ||
driver on its digital platform, the TNC shall: | ||
(1) require the individual to submit an application to |
the TNC, which includes information regarding his or her | ||
address, age, driver's license, driving history, motor | ||
vehicle registration, automobile liability insurance, and | ||
other information required by the TNC; | ||
(2) conduct, or have a third party conduct, a local and | ||
national criminal history background check for each | ||
individual applicant that shall include: | ||
(A) Multi-State or Multi-Jurisdictional Criminal | ||
Records Locator or other similar commercial nationwide
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database with validation (primary source search); and
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(B) National Sex Offenders Registry database; and | ||
(3) obtain and review a driving history research report | ||
for the individual. | ||
(b) The TNC shall not permit an individual to act as a TNC | ||
driver on its digital platform who: | ||
(1) has had more than 3 moving violations in the prior | ||
three-year period, or one major violation in the prior | ||
three-year period including, but not limited to, | ||
attempting to evade the police, reckless driving, or | ||
driving on a suspended or revoked license; | ||
(2) has been convicted, within the past 7 years, of | ||
driving under the influence of drugs or alcohol, fraud, | ||
sexual offenses, use of a motor vehicle to commit a felony, | ||
a crime involving property damage, or theft, acts of | ||
violence, or acts of terror; | ||
(3) is a match in the National Sex Offenders Registry |
database; | ||
(4) does not possess a valid driver's license; | ||
(5) does not possess proof of registration for the | ||
motor vehicle used to provide TNC services; | ||
(6) does not possess proof of automobile liability | ||
insurance for the motor vehicle used to provide TNC | ||
services; or | ||
(7) is under 19 years of age. | ||
Section 20. Non-discrimination. | ||
(a) The TNC shall adopt and notify TNC drivers of a policy | ||
of non-discrimination on the basis of destination, race, color, | ||
national origin, religious belief or affiliation, sex, | ||
disability, age, sexual orientation, or gender identity with | ||
respect to passengers and potential passengers. | ||
(b) TNC drivers shall comply with all applicable laws | ||
regarding non-discrimination against passengers or potential | ||
passengers on the basis of destination, race, color, national | ||
origin, religious belief or affiliation, sex, disability, age, | ||
sexual orientation, or gender identity. | ||
(c) TNC drivers shall comply with all applicable laws | ||
relating to accommodation of service animals. | ||
(d) A TNC shall not impose additional charges for providing | ||
services to persons with physical disabilities because of those | ||
disabilities. | ||
(e) A TNC shall provide passengers an opportunity to |
indicate whether they require a wheelchair accessible vehicle. | ||
If a TNC cannot arrange wheelchair-accessible TNC service in | ||
any instance, it shall direct the passenger to an alternate | ||
provider of wheelchair-accessible service, if available. | ||
(f) If a unit of local government has requirements for | ||
licensed chauffeurs not to discriminate in providing service in | ||
under-served areas, TNC drivers participating in TNC services | ||
within that unit of local government shall be subject to the | ||
same non-discrimination requirements for providing service in | ||
under-served areas. | ||
Section 25. Safety. | ||
(a) The TNC shall implement a zero tolerance policy on the | ||
use of drugs or alcohol while a TNC driver is providing TNC | ||
services or is logged into the TNC's digital network but is not | ||
providing TNC services. | ||
(b) The TNC shall provide notice of the zero tolerance | ||
policy on its website, as well as procedures to report a | ||
complaint about a driver with whom a passenger was matched and | ||
whom the passenger reasonably suspects was under the influence | ||
of drugs or alcohol during the course of the trip. | ||
(c) Upon receipt of a passenger's complaint alleging a | ||
violation of the zero tolerance policy, the TNC shall | ||
immediately suspend the TNC driver's access to the TNC's | ||
digital platform, and shall conduct an investigation into the | ||
reported incident. The suspension shall last the duration of |
the investigation. | ||
(d) The TNC shall require that any motor vehicle that a TNC | ||
driver will use to provide TNC services meets vehicle safety | ||
and emissions requirements for a private motor vehicle in this | ||
State. | ||
(e) TNCs or TNC drivers are not common carriers, contract | ||
carriers or motor carriers, as defined by applicable State law, | ||
nor do they provide taxicab or for-hire vehicle service. | ||
Section 30. Operational. | ||
(a) A TNC may charge a fare for the services provided to | ||
passengers; provided that, if a fare is charged, the TNC shall | ||
disclose to passengers the fare calculation method on its | ||
website or within the software application service. | ||
(b) The TNC shall provide passengers with the applicable | ||
rates being charged and the option to receive an estimated fare | ||
before the passenger enters the TNC driver's vehicle. | ||
(c) The TNC's software application or website shall display | ||
a picture of the TNC driver, and the license plate number of | ||
the motor vehicle utilized for providing the TNC service before | ||
the passenger enters the TNC driver's vehicle. | ||
(d) Within a reasonable period of time following the | ||
completion of a trip, a TNC shall transmit an electronic | ||
receipt to the passenger that lists: | ||
(1) the origin and destination of the trip; | ||
(2) the total time and distance of the trip; and |
(3) an itemization of the total fare paid, if any. | ||
(e) Dispatches for TNC services shall be made only to | ||
eligible TNC drivers under Section 15 of this Act who are | ||
properly licensed under State law and local ordinances | ||
addressing these drivers if applicable. | ||
(f) A taxicab may accept a request for transportation | ||
received through a TNC's digital network or software | ||
application service, and may charge a fare for those services | ||
that is similar to those charged by a TNC. | ||
Section 35. The Ridesharing Arrangements Act is amended by | ||
changing Section 2 as follows:
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(625 ILCS 30/2) (from Ch. 95 1/2, par. 902)
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Sec. 2.
(a) "Ridesharing arrangement" means the | ||
transportation by motor
vehicle of not more than 16 persons | ||
(including the driver):
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(1) for purposes incidental to another purpose of the | ||
driver, for which
no fee is charged or paid except to reimburse | ||
the driver or owner of the
vehicle for his operating expenses | ||
on a nonprofit basis; or
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(2) when such persons are travelling between their homes | ||
and their places
of employment, or places reasonably convenient | ||
thereto, for which (i) no
fee is charged or paid except to | ||
reimburse the driver or owner of the vehicle
for his operating | ||
expenses on a nonprofit basis, or (ii) a fee is charged
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accordance with the provisions of Section 6 of this Act.
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(b) "For-profit ridesharing arrangement" means a | ||
ridesharing arrangement for
which a fee is charged in | ||
accordance with Section 6 of this Act , and does not include | ||
transportation network company services under the | ||
Transportation Network Providers Act .
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(Source: P.A. 83-1091.)
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