# Xchange Lease Holders (Lessees) - New December 11 Agreement Insurance Implications



## elelegido (Sep 24, 2014)

There are other threads on the new agreement and insurance implications; however this is just for Xchange leaseholders.

If you have an Uber Xchange lease vehicle and you do not have full commercial livery insurance, then the new December 11 partner agreement puts you at serious financial risk every time you Uber. Prior to December 11, as long as you had full coverage rideshare insurance from either Metromile or Farmers (which you had to get as a condition of leasing the vehicle), then Uber would cover losses to your vehicle in periods 2 and 3. This is from the moment you accept a ping until the moment you drop the pax off:










The December 11 partner agreement however now removes the coverage for losses to your vehicle:

_Section 8.4:
Company may maintain during the term of this Agreement insurance related to your provision
of Transportation Services as determined by Company in its reasonable discretion or as
described in a City Addendum, provided that _*Company and its Affiliates are not required to
provide you with any specific insurance coverage for any loss to you or your Vehicle.*

Now, if you look at your Xchange contract, namely section 3.C.iii:

_Should Coverage maintained by sponsor company as described in this subsection 3.C no longer exist, Lessee shall be required to meet all insurance requirements required under this Section 3 as promptly as practibable after being notified by Sponsor Company or Lessor of such lapse of coverage._

Because neither Metromile nor Farmers provide any coverage for damage or loss to the vehicle during periods 2 or 3, the only way you will be fully covered now for rideshare is with full commercial livery insurance. Either that or risk, on every ride you give, potentially owing Uber the full value of the vehicle in the event of an uninsured accident or other loss.


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## trickynikki (Oct 26, 2015)

So the driver can get really screwed.


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## LadyDi (Nov 29, 2015)

I'll ask for my state and see what is said. Thank you for the info


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## volksie (Apr 8, 2015)

trickynikki said:


> So the driver can get really screwed.


The driver and the leasing/loan co will get screwed and this "Insurance Problem" will/should be a bigger issue than the current class action. Uber is a transportation co and we, "the drivers" are provided inadequate insurance.

We didn't ask them to provide insurance. They volunteered to cover us when we were approved to drive and they are putting the drivers and riders at risk.


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## chi1cabby (May 28, 2014)

elelegido said:


> _Section 8.4:
> Company may maintain during the term of this Agreement insurance related to your provision
> of Transportation Services as determined by Company in its reasonable discretion or as
> described in a City Addendum, provided that _*Company and its Affiliates are not required to
> provide you with any specific insurance coverage for any loss to you or your Vehicle.*


The language of Section 8.4 has not changed from Nov 2014 to Dec 2015 Agreement.










Additionally, I've posted a MS Word comparison between the two Agreements here:

*New Partner Agreement, Binding Arbitration Provision, Opting Out & UberLAWSUIT Explained*


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