Rideshare insurance fraud in Winnipeg prompts crackdown: MPI
Winnipeg rideshare drivers will face more enforcement to ensure they have the correct auto insurance, after a review found many are operating without the correct coverage.
Manitoba Public Insurance (MPI) has launched a crackdown on rideshare drivers in Winnipeg who are operating without proper insurance coverage. The review found that many drivers were using rideshare platforms like Uber and Lyft without the required vehicle for hire coverage, putting themselves and other passengers at risk. Approximately 3,000 drivers were temporarily halted from operating rideshares in Winnipeg from February to August due to a lack of proper insurance.
Some drivers were found to have opted in to rideshare coverage to get approved for the apps, then switched back to basic coverage while continuing to offer rides, which is considered fraudulent. MPI president and CEO Satvir Jatana stated that this type of behavior creates an unfair advantage for those who choose not to follow the rules and shifts costs onto honest drivers and Manitobans.
MPI's legal team is working to recover the $189,000 in improperly insured claims and will pursue all options under the legislation to hold individuals accountable.
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