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- 83rd Session (2025)
Assembly Bill No. 523–Committee
on Growth and Infrastructure
CHAPTER..........
AN ACT relating to transportation; revising the minimum dollar
amount of transportation network company insurance that a
transportation network company, a driver or a monitored
autonomous vehicle provider is required to maintain under
certain circumstances; defining certain terms related to
delivery network companies; providing that certain delivery
network companies are not vicariously liable for any acts or
omissions of a driver who provides delivery services for the
delivery network company; providing that a transportation
network company is not vicariously liable for any acts or
omissions of a driver who provides transportation services for
the transportation network company; and providing other
matters properly relating thereto.
Legislative Counsel’s Digest:
Existing law sets forth various provisions governing transportation network
companies which enter into agreements with one or more drivers to receive
connections to potential passengers from the company in exchange for the payment
of a fee by the driver to the company. (Chapter 706A of NRS) Existing law requires
a transportation network company or driver to continuously provide, during any
period in which the driver is providing transportation services, transportation
network company insurance for the payment of liabilities arising from the operation
of a motor vehicle by the driver. Existing law sets forth certain minimum amounts
of coverage that are required to be provided by a transportation network company
or driver for the periods in which the driver is providing t ransportation services and
for the periods in which a driver is logged into the digital network or software
application service of the transportation network company and available to receive
requests for transportation services but is not otherwise providi ng transportation
services. (NRS 690B.470) Section 1 of this bill reduces the minimum amount of
transportation network company insurance required to be maintained while a driver
is providing transportation services from an amount of not less than $1,500,00 0 to
an amount of not less than $1,000,000.
Section 3 of this bill provides that a transportation network company is not
vicariously liable for any act or omission of a driver or passenger that harms a
person or property under any theory of liability or duty of care.
Existing law requires every monitored autonomous vehicle provider to
continuously provide transportation network company insurance in an amount of
not less than $1,500,000 during any period in which the monitored autonomous
vehicle provider is operating a monitored autonomous vehicle, regardless of
whether the provider is providing transportation services. (NRS 690B.470) Section
1 reduces the minimum amount of transportation network company insurance
required to be maintained to an amount of not less than $1,000,000.
Section 2. 3 of this bill defines “delivery network company ” to mean certain
entities that operate in this State and use a digital network to connect a customer to
a driver for the purpose of providing delivery services. Sections 2.2 and 2.4-2.8 of
this bill define certain other terms relating to delivery network companies.
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Section 2.9 of this bill provides that a delivery network company is not vicariously
liable for any act or omission of a driver that harms a person or property under any
theory of liability or duty of care. Section 2.9 further provides that a delivery
network company shall be deemed to not control, direct or manage a driver or the
personal vehicle of a driver. Additionally, section 2.9 limits, for any driver who
uses a personal vehicle which is a motor vehicle, the applicability of its provisions
to a delivery network company that maintained a motor vehicle insurance policy in
an amount of not less than $1,000,000.
EXPLANATION – Matter in bolded italics is new; matter between brackets [omitted material] is material to be omitted.
THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN
SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:
Section 1. NRS 690B.470 is hereby amended to read as
follows:
690B.470 1. Every transportation network company or driver
shall continuously provide, during any period in which the driver is
providing transportation services, transportation network company
insurance provided by an insurance company licensed by the
Division of Insurance of the Department of Business and Industry
and approved to do business in this State or a broker licensed
pursuant to chapter 685A of NRS or procured directly from a
nonadmitted insurer, as defined in NRS 685A.0375:
(a) In an amount of not less than [$1,500,000] $1,000,000 for
bodily injury to or death of one or more persons and injury to or
destruction of property of others in any one accident or motor
vehicle crash that occurs while the driver is providing transportation
services;
(b) In an amount of not less than $50,000 for bodily injury to or
death of one person in any one accident or motor vehicle cra sh that
occurs while the driver is logged into the digital network or software
application service of the transportation network company and
available to receive requests for transportation services but is not
otherwise providing transportation services;
(c) Subject to the minimum amount for one person required by
paragraph (b), in an amount of not less than $100,000 for bodily
injury to or death of two or more persons in any one accident or
motor vehicle crash that occurs while the driver is logged into t he
digital network or software application service of the transportation
network company and available to receive requests for
transportation services but is not otherwise providing transportation
services; and
(d) In an amount of not less than $25,000 fo r injury to or
destruction of property of others in any one accident or motor
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vehicle crash that occurs while the driver is logged into the digital
network or software application service of the transportation
network company and available to receive reque sts for
transportation services but is not otherwise providing transportation
services,
for the payment of tort liabilities arising from the maintenance or
use of the motor vehicle.
2. Every monitored autonomous vehicle provider shall
continuously prov ide, during any period in which a monitored
autonomous vehicle provider is operating a monitored autonomous
vehicle, transportation network company insurance provided by an
insurance company licensed by the Division of Insurance of the
Department of Business and Industry and approved to do business in
this State or a broker licensed pursuant to chapter 685A of NRS or
procured directly from a nonadmitted insurer, as defined in NRS
685A.0375, in an amount of not less than [$1,500,000] $1,000,000
for bodily in jury to or destruction of property of others in any one
accident or motor vehicle crash that occurs while the monitored
autonomous vehicle provider is operating a monitored autonomous
vehicle for the payment of tort liabilities arising from the
maintenance or use of the monitored autonomous vehicle.
3. The transportation network company insurance required by
subsection 1 or 2, as applicable, may be provided through one or a
combination of insurance policies provided by the transportation
network company, the driver, the monitored autonomous vehicle
provider, both the transportation network company and the driver or
both the transportation network company and the monitored
autonomous vehicle provider.
4. Every transportation network company shall continuo usly
provide, during any period in which the driver or monitored
autonomous vehicle provider is providing transportation services,
transportation network company insurance provided by an insurance
company licensed by the Division of Insurance of the Department of
Business and Industry and approved to do business in this State or a
broker licensed pursuant to chapter 685A of NRS or procured
directly from a nonadmitted insurer, as defined in NRS 685A.0375,
which meets the requirements of subsection 1 or 2, as applicable, as
primary insurance if the insurance provided by the driver or
monitored autonomous vehicle provider:
(a) Lapses; or
(b) Fails to meet the requirements of subsection 1 or 2, as
applicable.
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5. Notwithstanding the provisions of NRS 485.185 and
485.186 which require the owner or operator of a motor vehicle to
provide insurance, transportation network company insurance shall
be deemed to satisfy the requirements of NRS 485.185 or 485.186,
as appropriate, regardless of whether the insurance is provided by
the transportation network company, the driver, the monitored
autonomous vehicle provider, both the transportation network
company and the driver or both the transportation network company
and the monitored autonomous vehicle provider, if the
transportation network company insurance otherwise satisfies the
requirements of NRS 485.185 or 485.186, as appropriate.
6. In addition to the coverage required pursuant to subsection 1
or 2, as applicable, a policy of transportation network company
insurance may include additional coverage, including, without
limitation, coverage for medical payments, coverage for uninsured
or underinsured motorists, comprehensive coverage and collision
coverage.
7. An insurer who provides transportation network compan y
insurance shall not require a policy of insurance for the operation of
a motor vehicle required pursuant to NRS 485.185 or 485.186, as
appropriate, to deny a claim before the transportation network
company insurance provides coverage for a claim.
8. An insurer who provides transportation network company
insurance has a duty to defend and indemnify the driver or
monitored autonomous vehicle provider and the transportation
network company.
9. An insurer who provides transportation network company
insurance which includes comprehensive coverage or collision
coverage for the operation of a motor vehicle against which a
lienholder holds a lien shall issue any payment for a claim under
such coverage:
(a) Directly to the person who performs repairs upo n the
vehicle; or
(b) Jointly to the owner of the vehicle and the lienholder.
10. A transportation network company that provides
transportation network company insurance for a motor vehicle is not
deemed to be the owner of the motor vehicle.
11. As us ed in this section, “monitored autonomous vehicle”
has the meaning ascribed to it in NRS 706A.045.
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Sec. 2. Chapter 597 of NRS is hereby amended by adding
thereto the provisions set forth as sections 2.1 to 2.9, inclusive, of
this act.
Sec. 2.1. As used in sections 2.1 to 2.9, inclusive, of this act,
unless the context otherwise requires, the words and terms defined
in sections 2.2 to 2. 8, inclusive, have the meanings ascribed to
them in those sections.
Sec. 2.2. “Customer” means a person who orders th e
delivery of goods where the driver delivers such goods at the
direction of the customer.
Sec. 2.3. “Delivery network company” means a corporation,
partnership, sole proprietorship or other entity that:
1. Operates in this State; and
2. Uses a digital network to connect a customer to a driver to
provide delivery services.
Sec. 2.4. “Delivery services” means the fulfillment of
customer delivery requests through the pick -up from any location
of any item or items and the delivery of items using a personal
vehicle to a location selected by the customer located within 50
miles of the pick-up location.
Sec. 2.5. “Delivery service period” means the period:
1. Beginning when a driver starts operating a personal
vehicle enroute to pick -up goods for a delivery or series of
deliveries as documented via a digital network controlled by a
delivery network company;
2. Continuing while the driver transports the requested
deliveries; and
3. Ending upon delivery of the requested goods to:
(a) The custo mer or the last customer in a series of
deliveries;
(b) A location designated by the customer or the last
location so designated in a series of deliveries; or
(c) A location designated by the delivery network company,
including, for purposes of returning the goods.
Sec. 2.6. “Digital network” means any online -enabled
technology application, service, website or system offered or
utilized by a delivery network company that enables the provision
of delivery services.
Sec. 2.7. “Driver” means a natural person who provides
delivery services through a delivery network company’s digital
network pursuant to an independent contractor agreement.
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Sec. 2.8. “Personal vehicle” means a vehicle including,
without limitation, a motor vehicle, bicycle, scooter or o ther
similar means of transportation, that:
1. Is used by a driver to provide delivery services through a
digital network;
2. Is owned, leased or otherwise authorized for use by the
driver; and
3. Does not exceed 6,000 pounds.
Sec. 2.9. 1. A delivery network company is not vicariously
liable for any act or omission of a driver that harms a person or
property under any theory of liability or duty of care.
2. A delivery network company shall be deemed to not
control, direct or manage a driver or the personal vehicle of a
driver.
3. For any driver who uses a personal vehicle which is a
motor vehicle , as defined in NRS 482.075 , the provisions of this
section apply to a delivery network company if the delivery
network company maintained a motor vehicle insurance policy, in
force on the date of the incident giving rise to an action, in an
amount of not less than $1,000,000 , that insure d the driver for
liability to third parties arising out of the use of a motor vehicle
during the delivery service period.
4. This section does not alter or preclude any other theory of
liability against a delivery network company or duty of care owed
by a delivery network company to the extent available and proven
under law.
Sec. 3. Chapter 706A of NRS is hereby amended by adding
thereto a new section to read as follows:
1. A transportation network company is not vicariously liable
for any act or omission of a driver or passenger that harms a
person or property under any theory of liability or duty of care.
2. This section does not alter or preclude any other theory of
liability against a transportation network company or duty of care
owed by a transportation network company to the extent available
and proven under law.
Sec. 4. The amendatory provisions of this act do not apply to a
cause of action that arises before October 1, 2025.
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