Uber battle in Broward finally appears over; insurance issue put to rest

May 21--Uber's fight for legal legitimacy in Broward County appears to be over.

The county is prepared to issue the ride-booking giant a permanent license, finally putting a prolonged legal fight to rest and blessing Uber's insurance policies as meeting Florida law, internal county memos say. The same is expected for its smaller competitor, Lyft, and other "transportation network companies."

Uber reacted with jubilance.

"Uber is excited to have a permanent home in Broward and to continue operating across South Florida, creating opportunities for flexible work and greater access to safe, reliable, and affordable transportation options," the public affairs manager for Florida, Javi Correoso, said in an email.

Uber and Lyft are ride-hailing services that let people use smartphone apps to schedule and pay for car rides.

The latest decision, a county reversal on a key sticking point, comes as Uber's six-month provisional license to operate in Broward is set to expire.

Under the new county position, Uber drivers in Broward will be allowed to carry the same personal auto insurance a non-Uber driver would. Drivers will be covered under Uber's $1 million insurance policy when using the Uber app. The rest of the time, they don't need commercial insurance, the county has determined, mirroring the position of the state Department of Highway Safety and Motor Vehicles.

"Based upon the opinion provided by our county attorney's office, Uber appears to satisfy Florida's statutory insurance requirements," county Risk Management Director John Burkholder wrote in an email to other staffers this week. Friday, the county began preparing a more permanent license for Uber.

Uber won a lengthy fight with Broward County last year, but it remained in legal limbo on that one issue: whether Uber drivers must purchase commercial 24/7 insurance like taxis do, even though Uber drivers use their personal vehicles and might not work full-time.

The county last fall gave Uber six months to resolve the insurance question, expecting the state Legislature to resolve in statewide. But the legislation didn't pass. And Uber's provisional license expires on May 30, according to Lenny Vialpando, director of the county's environmental licensing and building permitting division.

The insurance quandry has dogged Uber and its drivers across the country, as critics claim there are coverage gaps that could leave accident victims and Uber drivers exposed. Meanwhile, private insurers are scrambling to keep up with the new driving trend. In many states, but not in Florida, private insurers now offer a hybrid commercial-personal insurance for Uber drivers.

Uber is similar to a taxi service, but its drivers use their personal vehicles and are connected to customers via the smartphone apps.

Uber drivers are treated differently in county law than taxi drivers are; namely, transportation network companies like Uber can field unlimited vehicles and charge any rate, while taxi numbers are limited and fares are set by the county.

Now, insurance requirements are officially different, with taxi drivers required to carry higher and more costly policies, according to a memo from the office of County Attorney Joni Armstrong Coffey.

The county changed its official stance based on a position put out by the Florida Department of Highway Safety and Motor Vehicles, in a pending lawsuit on the issue filed by Broward's Yellow Cab, officially B&L Service Inc.

Even without state legislation, the state agency said Uber's insurance is sufficient.

The county's reversal is another blow for traditional cabs, which have lost nearly every battle so far. Yellow Cab President John Camillo said he's still waiting to see what the court does with it.

In the lawsuit, Yellow Cab says the DMV's interpretation of the law "is so absurd, illogical, and not supported by law, that this court is required to interpret the statute."

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