BILL NUMBER: S1162
SPONSOR: KRUEGER
 
TITLE OF BILL:
An act to amend the general business law, in relation to requiring
third-party food delivery services maintain insurance through a group
policy that covers bodily injury or death arising out of or resulting
from qualifying accidents involving a delivery person
 
PURPOSE OR GENERAL IDEA OF BILL:
To require third-party food delivery services to carry no fault insur-
ance coverage for delivery persons working on their behalf.
 
SUMMARY OF SPECIFIC PROVISIONS:.
Section 1 sets forth definitions including for a qualifying delivery
driver which is defined as an individual who conveys products for a food
service establishment on behalf of a third-party delivery service.
Section 2 requires that third-party food delivery services are required
to carry insurance covering accidents involving delivery persons. It
caps the benefits paid for qualifying accidents at $50,000 per person
and requires delivery drivers, pedestrians, and non-delivery driver
bicyclists to be eligible regardless of state of residency or citizen-
ship status. Delivery drivers are eligible for coverage regardless of
immigration status or status as an independent contractor. Drivers and
other individuals who are injured as result of their dangerous conduct
due to intoxication or drug impairment or intentionally injure them-
selves shall not be eligible for benefits.
 
JUSTIFICATION:
With the proliferation of online tech companies like Grub Hub, Door
Dash, and Uber Eats dominating the food delivery business in New York
City, there are more delivery couriers on the streets than ever before.
This vast increase in deliveries coupled with consumer demand to get
food delivered as fast as possible, presents additional safety chal-
lenges for pedestrians, cyclists, and motorists alike. This bill will
help address safety concerns by requiring the delivery app companies,
such as Door Dash and Grub Hub to maintain "no fault" insurance coverage
for people providing food deliveries on their behalf modeled on the
State's requirements for insurance for cars and other vehicles. This
bill places the onus of responsibility on the online tech companies, who
are driving and profiting from this delivery culture and is intended to
incentivize them to prioritize safety for workers and pedestrians rather
than deliveries being provided at unsafe speeds.
 
PRIOR LEGISLATIVE HISTORY:
S.8706/ A.8871 of 2023-24
 
FISCAL IMPLICATIONS:
None to the state.
 
EFFECTIVE DATE:
One hundred and eighty days after becoming law.

Statutes affected:
S1162: 391-v general business law, 391-v(1) general business law