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Do Taxi Drivers Need Public Liability Insurance?

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As a taxi driver, you have to interact with the general public daily. This exposes tax drivers to many risks, including harassment, physical injury, and even false accusations. Fortunately, many drivers on the road feel protected from these dangers, thanks to their fleet’s taxi insurance.

However, do you know that fleet taxi insurance might not be enough to protect you completely? If you look at your taxi insurance’s coverage, you might discover that it mainly protects you. Taxi insurance is designed to protect the driver in cases of:

Traffic accidents, whether or not the driver is alone or with a passenger
Attempted theft or actual theft
Fire
Car damage

Basically, taxi insurance is designed to protect the driver and the car. However, it also provides coverage for passengers in case of traffic accidents.

The Need For Public Liability Insurance

If taxi insurance covers passengers as well, then is there a need for public liability insurance? The answer to that is yes. If you look at the fine print, taxi insurance only covers third-party liability in case of traffic accidents. However, a passenger is in your care from the time they get into your taxi up until the time they exit it.

In many cases, a taxi driver’s responsibility goes beyond this point. For example, if your passenger is an older adult, they may ask you to escort them to their front door. If this is the case, the taxi driver is responsible for their safety until they reach their doorway.

Although most taxi passenger injuries and deaths are from traffic accidents, they can get hurt in more ways than one. A thief on a motorcycle can sideswipe them as they’re alighting from your taxi. They could be allergic to your taxi’s air freshener and suffer an allergic reaction. They might lose their valuables while inside your cab and accuse you of thievery. They can get into an argument with you and suffer a heart attack because of it.

Some of these scenarios might sound far-fetched to you, but they do happen. And when they do, it’s usually a massive headache, not only for the taxi driver but the fleet management as well.

What Does Public Liability Insurance Cover?

So what does public insurance cover that fleet taxi insurance doesn’t? While public liability insurance terms vary depending on which insurance company you go to, here are some of the things covered by this type of insurance:

Personal injury to passengers or other persons
Death of a passenger or other persons
Damage or loss
Financial assistance for legal expenses

Not only does public liability insurance protect taxi drivers from liability if anything happens to their passengers, but it also aids them financially in case someone does sue them and thus requires legal representation.

Give Your Fleet Total Protection With Public Liability Insurance

Fleet taxi insurance is an excellent benefit for taxi drivers. It allows them to focus on recuperating in situations where they are injured due to traffic accidents, theft, and other dangers. However, it doesn’t fully protect them from lawsuits from passengers and other parties involved.

While taxi insurance can go a long way, adding public liability insurance on top of that is the best way to protect taxi drivers while they are on duty. Not only does it shield them from legal claims, but it also allows them to perform their job with the peace of mind that they are fully protected no matter what happens.