1. (a) On or before October 30, 2016, and thereafter, a TNC driver or a TNC on the behalf of the TNC driver shall maintain primary automobile insurance that recognizes that the driver is a TNC driver or otherwise uses a vehicle to transport riders for compensation and covers the driver under both of the following circumstances:

   1. (1) While the TNC driver is logged onto the digital network of a TNC.
   2. (2) While the TNC driver is engaged in a prearranged ride.

2. (b)

   1. (1) The following automobile insurance requirements shall apply while a participating TNC driver is logged on to the digital network of a TNC and is available to receive transportation requests but is not engaged in a prearranged ride:

      1. a. Primary automobile liability insurance in the amount of at least fifty thousand dollars ($50,000) for death and bodily injury per person, one hundred thousand dollars ($100,000) for death and bodily injury per incident, and twenty-five thousand dollars ($25,000) for property damage.
      2. b. All other state mandated coverage for motor vehicles, including the requirements under the Motor Vehicle Safety-Responsibility Act, Chapter 7 of this title.

   2. (2) The coverage requirements of this subsection may be satisfied by any of the following:

      1. a. Automobile insurance maintained by the TNC driver.
      2. b. Automobile insurance maintained by the TNC.
      3. c. Any combination of a. and b.

3. (c)

   1. (1) The following automobile insurance requirements shall apply while a TNC driver is engaged in a prearranged ride:

      1. a. Primary automobile liability insurance that provides at least one million dollars ($1,000,000) for death, bodily injury, and property damage.
      2. b. All other state mandated coverage for motor vehicles, including the requirements under the Motor Vehicle Safety-Responsibility Act, Chapter 7 of this title.

   2. (2) The coverage requirements of this subsection may be satisfied by any of the following:

      1. a. Automobile insurance maintained by the TNC driver.
      2. b. Automobile insurance maintained by the TNC.
      3. c. Any combination of a. and b.
4. (d) If insurance maintained by a TNC driver under subsection (b) or (c) has lapsed or does not provide the required coverage, insurance maintained by a TNC shall provide the coverage required by this chapter beginning with the first dollar of a claim and shall have the duty to defend the claim.
5. (e) Coverage under an automobile insurance policy maintained by a TNC may not be made dependent on a personal automobile insurer first denying a claim and a personal automobile insurance policy may not be required to first deny a claim.
6. (f) Insurance required by this chapter may be placed with an insurer licensed under state law or with a surplus lines insurer eligible under state law that has a credit rating of no less than A- from A.M. Best or A from Demotech or a similar rating from another rating agency recognized by the Department of Insurance.

7. (g)

   1. (1) Insurance satisfying the requirements of this chapter shall satisfy the financial responsibility requirement for a motor vehicle under the Motor Vehicle Safety-Responsibility Act, Chapter 7 of this title.
   2. (2) Nothing in this chapter shall relieve a TNC driver not logged onto the digital network of a TNC or not engaged in a prearranged ride from the financial responsibility requirements for a motor vehicle under the Motor Vehicle Safety-Responsibility Act, Chapter 7 of this title.

8. (h)

   1. (1) A TNC driver shall carry proof of coverage satisfying this chapter with him or her at all times during his or her use of a vehicle in connection with the use of a digital network of a TNC.
   2. (2) In the event of an accident, a TNC driver shall provide this insurance coverage information to the directly interested parties, automobile insurers, and investigating police officers.
   3. (3) Upon request, a TNC driver shall also disclose to directly interested parties, automobile insurers, and investigating police officers, whether he or she was logged on to the digital network of a TNC or on a prearranged ride at the time of an accident.
9. (i) This chapter shall have no effect or limitation on the rights of a TNC rider to coverage that may be available for underinsured or uninsured motorist coverages pursuant to Section 32-7-23 as an additional recovery beyond any insurance coverage available to the TNC rider under this chapter.
10. (j) No contract between a TNC and a TNC driver or TNC rider shall diminish the automobile insurance requirements under this chapter.

(Act 2016-409, §2.)