# James River Group to Cancel Auto Insurance for Uber Affiliate Rasier



## njn (Jan 23, 2016)

*James River Group to Cancel Auto Insurance for Uber Affiliate Rasier *

James River Group Holdings Ltd.  JRVR -19.76% said Tuesday it delivered a notice of early cancellation of all insurance policies issued to Rasier LLC, its largest customer.

Rasier is an affiliate of Uber Technologies Inc. UBER -0.73% 

James River said the policies will be canceled as of Dec. 31.

"This account has not met our expectations for profitability, and we think it best to terminate the underwriting relationship as of year-end," said J. Adam Abram, the chairman and chief executive of James River.

"All insurance policies related to this customer are included in the company's commercial auto line of business within its Excess and Surplus Lines segment, and a majority of the insurance policies were due to expire on February 29, 2020," James River said.

James River also announced a "pretax, adverse development of between $55 and $60 million, net of reinsurance recoveries and reinstatement premiums. These losses are primarily related to its commercial auto line of business within its Excess and Surplus Lines segment, for the 2016 and 2017 underwriting years."

The remainder of the losses, which are less than $10 million, are related to previous underwriting years in the casualty-reinsurance segment, the company said.

The company also reported 72% growth in its noncommercial auto Excess and Surplus Lines gross written premiums, compared with the prior year's quarter.

"James River is one of four insurers Uber works with in the U.S.--the other three are Farmers Insurance Group, Progressive Corp. and Allstate Corp. James River insures the ride-hailer's drivers in 20 states, D.C. and Puerto Rico," a spokesperson for Uber said. The company anticipates bringing on another insurer to replace James River but didn't provide details.

https://www.wsj.com/articles/james-...surance-for-uber-affiliate-rasier-11570569015


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## Cold Fusion (Aug 28, 2019)

Here comes $2500 driver deductible

https://uberpeople.net/threads/james-river-insurance-to-dump-uber.355912/post-5471876


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## mikes424 (May 22, 2016)

Cold Fusion said:


> Here comes $2500 driver deductible
> 
> https://uberpeople.net/threads/james-river-insurance-to-dump-uber.355912/post-5471876


Maybe.
But if you have collision coverage on your car the insurance company will pick up the difference between your deductible and Uber's.


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## 1.5xorbust (Nov 22, 2017)

“This account has not met our expectations for profitability.” Too many cowboys driving MB’s.


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## RightTurnOnRed (Jun 15, 2018)

mikes424 said:


> Maybe.
> But if you have collision coverage on your car the insurance company will pick up the difference between your deductible and Uber's.


Is that the case with OR without the rideshare endorsement ?


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## tohunt4me (Nov 23, 2015)

njn said:


> *James River Group to Cancel Auto Insurance for Uber Affiliate Rasier *
> 
> James River Group Holdings Ltd.  JRVR -19.76% said Tuesday it delivered a notice of early cancellation of all insurance policies issued to Rasier LLC, its largest customer.
> 
> ...


Uber " HAS MET NO ONES PROFITABILITY EXPECTATIONS "!

ESPECIALLY DRIVERS !

LOOK FOR 4TH QUARTER STOCK DROP DUE TO UBER UNINSURABILITY !


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## mikes424 (May 22, 2016)

RightTurnOnRed said:


> Is that the case with OR without the rideshare endorsement ?


I think with the endorsement. Most insurance companies will not honor a ride share claim unless you have an endorsement. Might even cancel you.


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## tohunt4me (Nov 23, 2015)

Cold Fusion said:


> Here comes $2500 driver deductible
> 
> https://uberpeople.net/threads/james-river-insurance-to-dump-uber.355912/post-5471876


10 CENTS A MILE INSURANCE CHARGE!



mikes424 said:


> Maybe.
> But if you have collision coverage on your car the insurance company will pick up the difference between your deductible and Uber's.


PROVE IT.

NOT WHAT I HAVE HEARD.


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## Dekero (Sep 24, 2019)

NOW THATS SOME FUNNY SHYT....

It's about time someone crapped on Uber for a change....

I needed a good laugh today.. thank you!!


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## everythingsuber (Sep 29, 2015)

Gets tough for Uber to get coverage now?
James River charge on a per mile basis?
Obviously doesn't make money so in the real world what is the new cost to Uber and who wears it?


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## homelesswarlock (Dec 20, 2018)

Rekt

It basically gapped down, which means that investors really had no chance to save themselves this morning since the move occurred during pre-market hours.

Companies can unload their own stock seconds after releasing news and not a second before. Dumping their own stock before release of news would be considered insider trading and buttrape prison time.


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## UberNorthDfw (Nov 22, 2014)

I noticed recently on the rides given in Michigan that the waybill says Allstate now not James River


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## dauction (Sep 26, 2017)

Sounds like Too many Idiot drivers getting into accidents..

""""""""""""""""This account has not met our expectations for profitability, and we think it best to terminate the underwriting relationship as of year-end,” said J. Adam Abram, the chairman and chief executive of James River.""""""""""""""""


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## njn (Jan 23, 2016)

they have been phasing out jr for some time now.


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## tohunt4me (Nov 23, 2015)

njn said:


> they have been phasing out jr for some time now.


Great.
Now Uber can drive up EVERYONES insurance bill !


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## uberdriverfornow (Jan 10, 2016)

perhaps if Uber didn't roll out Express Poop, specially designed to cause accidents


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## everythingsuber (Sep 29, 2015)

homelesswarlock said:


> View attachment 365495
> 
> 
> Rekt
> ...


Reckon it's a very good long. What ever it was worth with Uber its worth more without ??


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## Amos69 (May 17, 2019)

uberdriverfornow said:


> perhaps if Uber didn't roll out Express Poop, specially designed to cause accidents


Or their shifty new App, which requires drivers pay attention to it and not the road! The old app was fine and the interface was organic, but Dara's Disaster is both dangerous and distracting. I authored a thread on this back during the rollout specifically to have in event of a class action suit.


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## KevinH (Jul 13, 2014)

I am in California, a JR state. Of the 8 companies writing personal auto policies, only 2 are making money and 6 are showing losses.

I wonder who wants to pick up the baton for those 20 states.I spoke to a Farmers agent that also does a lot of business in the limousine trade and he said when he quotes a Farmers rideshare policy to a U/L driver, the rate doubles the personal premium and only maybe 1 out of 15 drivers buy the TNC insurance policy rider. I guess the rest try to put it on their personal policy.
The agent said that there are companies that would write the policy, but at a steep price and knowing the high losses for TNC drivers, this is going to be a big hit for Uber.


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## Who is John Galt? (Sep 28, 2016)

njn said:


> "This account has not met our expectations for profitability, and we think it best to terminate the underwriting relationship as of year-end," said J. Adam Abram, the chairman and chief executive of James River.


Being associated with Über and losing money.

Now, that's a shock!!

.


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## jaxbeachrides (May 27, 2015)

This is the real beginning of the end.

Other than the development of the uber app, the only huge cost savings that uber was able to pass on to the consumer was not having to pay 300-500 a month in liability insurance like taxis do.

Its now going to cost the same to insure uber cars as it does to insure taxis. Especially being they are essentially dually insured ( owner policy and uber policy )

Either insurance goes WAY up, and I mean WAY up for uber, and they have to raise prices, lose fares, and become one step closer to bankruptcy...

Or they become self insured and get sued into bankruptcy.

Or calinfornia and new york and other blue states start enforcing a $20 an hour minimum wage and they go bankrupt.

Every forward looking option for uber is now bankruptcy.

This is what happens when you lower your prices instead of raising them ( they could have )


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## njn (Jan 23, 2016)

jaxbeachrides said:


> Its now going to cost the same to insure uber cars as it does to insure taxis.


It has been this way in NYC from the beginning. uber does not provide insurance in the city, drivers must purchase their own commercial policies.


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## Stevie The magic Unicorn (Apr 3, 2018)

jaxbeachrides said:


> This is the real beginning of the end.
> 
> Other than the development of the uber app, the only huge cost savings that uber was able to pass on to the consumer was not having to pay 300-500 a month in liability insurance like taxis do.
> 
> ...


Being self insured requires buying bonds in most states, the end result that for companies with an excess of 50-100 vehicles or so, having accidents (and being at fault) is a guarantee, and that paying out of pocket is cheaper than getting insurance.

It would save uber money, but they would first need the bonds, which could easily be a $50,000 bond plus another 10s of thousands per each vehicle.

Lining up bonds/ deposits *would* have been a brilliant long term business decision as uber established them self in each state, also good for the company's valuation because bonds/deposits are totally an asset.

But nope...


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## ABC123DEF (Jun 9, 2015)

jaxbeachrides said:


> This is the real beginning of the end.
> 
> Other than the development of the uber app, the only huge cost savings that uber was able to pass on to the consumer was not having to pay 300-500 a month in liability insurance like taxis do.
> 
> ...


How many times do I have to tell you, UBER IS A TECHNOLOGY COMPANY AND NOT A TRANSPORTATION PROVIDER??!!!! Pay no attention to the James River Insurance Company behind the curtain!


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## Wonkytonk (Jan 28, 2018)

ABC123DEF said:


> How many times do I have to tell you, UBER IS A TECHNOLOGY COMPANY??!!!!


One more time. Please? Also @tohunt4me needs to be in this picture!


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## Drivincrazy (Feb 14, 2016)

Of course...TNC stands for...Technology Networking Company...right? Well, it does now, says Uber Legal Dept.


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## The Entomologist (Sep 23, 2018)

Whoever is ready to take care of "insuring" Uber, know that drivers drive drowsy 90% of the time in the vast majority due to the fact the market is over saturated with drivers and the pay sucks enough to have to work over 12 hours to make anything half decent.

I guess insurance companies are about to start regulating the driver's driving hours and about damn time too.


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## mbd (Aug 27, 2018)

The Entomologist said:


> Whoever is ready to take care of "insuring" Uber, know that drivers drive drowsy 90% of the time in the vast majority due to the fact the market is over saturated with drivers and the pay sucks enough to have to work over 12 hours to make anything half decent.
> 
> I guess insurance companies are about to start regulating the driver's driving hours and about damn time too.


drive 12 hours a day, your efficiency goes down and no way a person can maintain 100% energy at the end of the day.
That is just you, then you add senseless drivers around you?for 12 hours.


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## ABC123DEF (Jun 9, 2015)

Ah yes, those pesky little issues that Uber never cared about or took the time to adequately address.


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## njn (Jan 23, 2016)

The Entomologist said:


> insurance companies are about to start regulating the driver's driving hours


the government already regulates driver hours in NYC.


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## nonononodrivethru (Mar 25, 2019)

Just another partner that Uber is trying to screw over for their shareholders.


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## KevinH (Jul 13, 2014)

As I understand it, Uber negotiates different coverage in each state, in California the liability limit is $1mil but in other states it is much lower. So will Uber need to create 20 new different policies for each state that JR covered? They've got just 10 weeks.


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## The Entomologist (Sep 23, 2018)

njn said:


> the government already regulates driver hours in NYC.


Both apps need a timer the second you start them, a timer that doesnt stop when you go offline, this wont stop people from turning on an app and 12 hours later another; in order to control that... both companies must be willing to work with insurances and let them know when one is active that way a timer runs for the other, this is for the sake of both companies AND their insurances.


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## KD_LA (Aug 16, 2017)

tohunt4me said:


> Uber " HAS MET NO ONES PROFITABILITY EXPECTATIONS "!


Ohhh but it has. Ask cousin Travis and uncle Dara!


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## Hagong (Jan 17, 2017)

Drivincrazy said:


> Of course...TNC stands for...Technology Networking Company...right? Well, it does now, says Uber Legal Dept.


Transportation Network Company


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## KevinH (Jul 13, 2014)

KevinH said:


> I am in California, a JR state. Of the 8 companies writing personal auto policies, only 2 are making money and 6 are showing losses.


An insurance industry website which reported the figures cited the problems with dealing with rapidly rising losses. It said rate changes needed to be approved by the insurance commission and that delay kept them from being able to respond in time.

What is equally interesting is the rise of lawyers on the internet specializing in rideshare accidents. Here in SF, every 5-10 years one of the taxi companies files for bankruptcy when hit with major injury/death lawsuit. In liability cases that are covered by insurance, the settlement agreement is usually at the maximum coverage amount because the taxi company has little financial reserves.Now that we have nationwide "taxi companies" with billions in resources the ambulance chasing sector is going all-out with advertising and web sites, Just google "rideshare accident" or "uber accident" and see page after page of hopeful law firms. Uber had to increase it's insurance reserve from $1billion to $2billion for 2017 and then to $3billion in 2018. There is a US association of personal injury attorneys that has just begun a division and website to deal with the best practices of litigating rideshare accidents.

Equally interesting is the parallel rise of sexual assault suits and the growth of law firms that specialize in litigating those cases.
Here is one firm in my town that claims over $500 million in settlements so far, and created a special website for the market:
https://www.ubersexualassaultlawyer.com/:


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