Measure Removing Exemption for Rideshare Companies, Making Them Common Carries Advancing

A measure to remove an exemption for rideshare companies and group them with other common carriers like taxi cabs is advancing at the Illinois State Capitol.

State Rep. Jennifer-Gong Gershowitz, D-Glenview, introduced House Bill 2231, which would set up a new standard for companies like Uber and Lyft by getting rid of an exemption that says rideshare companies are not responsible for their passengers’ safety. 

The measure comes after an Illinois woman was sexually assaulted by her rideshare driver and sued the company but lost in court due to those companies not being legally responsible for her safety. 

The measure would apply to all ride share companies like Uber, Lyft, and and Turro but would not apply to vehicles that carry over eight passengers at one time. 

State Sen. Robert Martwick, D-Chicago, explained what changes the measure would bring. 

“What it does is amends the Transportation Network Providers Act. This is the act that governs what we consider rideshares,” Martwick said. “What it does is it removes the exemption from common carrier liability.”

In a statement to its customers earlier this month, the rideshare company Uber said the measure is not about public safety. A new state law could drastically increase rider fares, Uber said.

“Disguised as a safety bill, this legislation could make rideshare too expensive for many communities. It could also lead to reduced rideshare availability removing transportation options and earnings opportunities for tens of thousands in Illinois,” the statement reads. 

State Sen. Sue Rezin, R-Morris, reminded Republicans that the Illinois Chamber of Commerce is still opposed to the measure. 

“I know that you have worked very hard to alleviate some of the concerns from the people at the table, so thank you for that,” Rezin said. “Just a reminder for people on our side, the Chamber is still opposed.” 

State Rep. Patrick Windhorst, R-Harrisburg, warned some companies could end up wanting to leave the state. 

“One of the reasons these entities have been so successful has been the costs involved are not as great as the other entities,” Windhorst said. “By increasing regulations or burdens on business, we may drive them out.” 

The Senate passed an amendment to the House bill. The measure is now in the House for concurrence. If the measure is approved and signed, it will go into effect on Jan. 1, 2024.