On Wednesday, more than 500 vehicles representing one-third of the San Francisco taxi fleet was idled due to a lapse in liability insurance. Dmitry Erenkov, the insurance broker representing about 525 taxicabs could not find an insurer to cover an existing insurance plan which expired midnight on Tuesday.
The San Francisco Municipal Transportation Agency which regulates San Francisco taxi companies issued a bulletin ordering drivers not to operate their taxis unless they carried a $1 million insurance policy. Failure to comply to the order would result in suspensions and or fines.
Taxi companies, drivers and the SFMTA could be liable if a passenger is injured in a taxi driving without sufficient insurance.
Rich Hybels, owner of Metro Cab with 23 taxis affected by the insurance lapse says his drivers will continue to operate. “I’m going to take my chances of getting fined rather than risk losing $4,000 a day.”
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