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The popularity of commercial ridesharing, which connects drivers and riders for a fare via smartphone app, has skyrocketed in recent years. Transportation network companies (TNCs) like Uber and Lyft have not only disrupted the taxi’s traditional drive-for-hire business model, but also have presented challenges for policymakers and insurers with a vested interest in protecting the public.

This year’s big insurance story has roots in regulations passed by the California Public Utility Commission in fall 2013 and really emerged last New Years’ Eve when an Uber driver struck and killed a 6-year-old in San Francisco. Since then, as TNCs expanded across the country, controversy, cease-and-desist orders, fines for operating without a license, and legislative and regulatory battles have followed.

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