Does the growth in private for-hire services or the sharing economy concern you?

U.S. Foods' Dorothy Capers is one of four CLM members who answered this month's question.

May 29, 2015 Photo

“Many are embracing shared services for efficiency, but I am concerned that failures in these services will create case law that may have a chilling effect on the basic premise—making something easier. Who has ‘standing’ in these scenarios?”  

Dorothy Capers, Associate General Counsel, U.S. Foods. CLM Fellow since 2012.


“Both ride sharing and accommodation sharing present serious coverage concerns. Questions regarding who pays in the event of an accident or damages are untested, but we’ve taken the opportunity to create new and innovative coverage for ride-share drivers.”

Gregory Green, Vice President and Claims Manager, Erie Insurance. CLM Fellow since 2012.


 

“The issue is the vetting of the guests, for example, in the case of Airbnb. There is no method, I believe, to determine if the guest has insurance to cover any unforeseen event or evaluate his moral character, which may be an increased risk in itself.”

Patrick Milone, Vice President, Property Services Group, Custard Insurance Adjusters Inc. CLM Fellow since 2011.


 

“I am excited by the new opportunities that these growing innovative business models present to insurers—to create and embrace the insurance products of tomorrow today.
My concern is for insurers that are not managing these exposures at a minimum.”

Karen Furtado, Partner, Strategy Meets Action. CLM Fellow since 2014.


 

$3.5 Billion

The estimated revenue for the sharing economy in 2015.

Source: Forbes

41%

Percent business travelers save with Airbnb compared to hotels, an average of $102 per night.

Source: TechCrunch

50%

Percent online peer-to-peer policyholders can save on insurance premiums.

Source: Friendsurance

20,000

Number of U.K. property owners who rent out their driveways through JustPark.

Source: U.K. Department for Business, Innovation and Skills

$41.2

Billion

Uber’s recent valuation after a round of funding.

Source: Wall Street Journal 

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About The Authors
Bevrlee J. Lips

Bevrlee J. Lips was managing editor of Claims Management magazine (now CLM Magazine) from January 2012 until March 2017.  blips@claimsadvisor.com

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