Uber Technologies Inc. is stepping up its efforts to get lawmakers’ attention in New York. The company recently launched a significant advertising campaign aimed at addressing problems linked to the insolvency of the city’s largest taxi insurer. This campaign began on Tuesday, coinciding with the return of state lawmakers to Albany for budget discussions.
While Uber did not disclose the exact amount spent on these ads, it has previously committed millions of dollars this year to promote insurance reform both in New York and across the country. The company has been vocal about rising insurance costs, which it claims have led to increased fares for riders. This issue is particularly pressing in New York City, one of Uber’s key markets, where American Transit Insurance Co., the main taxi insurer, is currently insolvent.
Governor Kathy Hochul proposed a plan in January to stabilize the insurance market, but Uber representatives, including lobbyist Josh Gold, criticized it as inadequate. They argue that the plan fails to tackle deeper issues in the legal system that contribute to fraudulent practices and higher insurance premiums. In January, Uber filed a racketeering lawsuit, alleging that certain groups in New York were involved in schemes to fake car crash injuries.
In a letter earlier this month to top state officials, Gold emphasized the urgent need for reforms to prevent what Uber sees as abuse of insurance policies. He pointed out that this situation not only affects drivers but also leads to higher fares for customers. Gold described the insurance crisis as a visible sign of a larger problem that demands immediate leadership from lawmakers.
As the discussion around insurance reform continues, Uber’s advertising push highlights the company’s commitment to influencing policy changes that could alleviate the financial burden on both drivers and riders in New York City.