Did you know that insurance companies including Cincinnati, AAA, Auto Owners, Grange, Encompass, and SafeCo (and there could be more) have exclusionary language about ride sharing programs like “car2go.” I must warn people who want to use ride sharing programs which encompass paying by the hour or day to use a small car from a company such as “cars2go” of some serious issues. After reviewing the “car2go” contract the corporation makes you sign when you join, I’m very concerned about some of the mandatory rules and issues surrounding its insurance coverage.
One, the company provides liability insurance coverage which is good but it is only $100/300. For those who want more, you cannot get it. For those who want also Uninsured or Underinsured Motorist Coverage, the company only provides the bare minimum of whatever state you are in. In Ohio, those amounts are only $25/50k. If you think you will have more UM coverage through your own auto insurance policy in Ohio- this is assuming you have a car and that you purchased UM coverage- you are probably wrong and thus not protected beyond the minimal coverage. Many car insurance companies such as those I listed above will not cover you when you are driving or are in a “car2go.” Thus, you only have what the company provides. This is problematic if you are in a moderate to serious wreck, either as a passenger or as a driver. You should contact your insurance agent immediately to verify what your coverage is if you decide to ride share in one of these vehicles.
Two, the long adhesion contract also mandates, in essence, that you cannot admit liability or give admissions if in a collision. Often this is contra what you must do after a wreck. What if the police ask you what happened? This document indicates that you cannot even answer many basic questions of an investigating officer. That fact alone could get you in trouble with the police.
Three, as with many form contracts today, if you have a dispute with the company, you do NOT get a trial or a jury. The case must be arbitrated and the terms favor the company. This condition takes away your American right to a jury trial of your peers.
In the end, as much as I want people to be “green” and smart and to enjoy new options in life, you must be extra smart when you decide to engage in this particular ride sharing situation.