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Uber and Lyft fares could go up in Nevada if new state bill passes

Senate Bill 125 imposes strict auto liability requirements. Uber said the bill is the first of its kind in the country.
Ridesharing
Posted at 6:02 PM, Apr 13, 2023
and last updated 2023-04-14 00:39:28-04

LAS VEGAS (KTNV) — A new state Senate bill seeks to impose strict auto liability requirements for ridesharing companies like Uber and Lyft.

Uber said the requirements would be expensive, and it already pays for the highest auto insurance policies in the country.

"Uber and Lyft in Nevada already carry more insurance than any other car on the road. So every time you get into an Uber, you have a million and a half dollar insurance policy on that trip." said Uber public affairs manager, Harry Hartfield. "That's more than every other state in the country, and it's more than every other car on the road in Nevada. What this bill does is say they want to add extra requirements. They want to add extra rules on top of that. And those rules are really, really expensive."

In order to offset the costs of insurance policies, Uber said it could be forced to hike the costs of rides.

Higher fares could mean fewer trips and less tips.

"I am concerned about that," said Las Vegas Uber driver Nailah Gantt. "Especially the flexibility. Right now, I can work around my child's schedule."

Gantt is a single mom who relies on Uber as her main source of income. She said her favorite part about working for the company is connecting with the community. She's worried if SB 125 passes, not only could she make less money, but more people may resort to driving under intoxication.

"If the cost increased for riders, it would make the roads unsafe," said Gantt. "That's not a place I want to live at."

On Wednesday, Uber director of operations in Las Vegas, David Case, sent a letter to the Clark County Commission expressing concern that if the bill becomes law, there will be fewer drivers available for the 2024 Super Bowl.

The letter states in part:

"We know that planning for the Super Bowl is already well underway; and we don't want you caught off guard if the availability of on-demand transportation is less than anticipated as a result of a new law. Our hope is that drivers will continue their use of our app as normal. However, given the likely impact this legislation may have on rider pricing and driver earnings, we have significant concerns about how it could affect the reliability of our app."

SB 125 was supposed to be heard in the Senate chamber Thursday afternoon, but primary sponsor Senator Dina Neal announced it was being pulled from the work session.