Prince Edward Island rideshare company Kari is installing GPS in New Brunswick in hopes of an “optimistic” expansion for this summer.
In an interview with Global News, co-founder, Lane Currie, said they would like to expand to St. John’s, Moncton or Fredericton before looking at other New Brunswick cities.
Other ridesharing apps have attempted to make a mark in the province over the past few years, most of which have been stymied by insurance.
“That was really the barrier that stopped other companies,” Curry said.
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He said this was something the company worked on in PEI when they began their operations two years ago, noting that the New Brunswick insurance policy did not exist when it started. The policy allows ridesharing, but requires a specific amendment to one’s car insurance policy that allows the provider to drive people around for money.
St. John’s Count. Gerry Lowe has owned the port city’s popular Vets Taxis for more than 40 years and said the city of St. John is ready to accommodate ridesharing apps coming to the area, adding that many taxi operations are driving with fewer drivers. Let’s do it, it’s something that the public has been pushing for a while.
While he is hopeful the company may come to town, he is concerned about the current insurance requirements.
“The great thing about rideshare is, in the province, the insurance doesn’t allow it,” Lowe said.
“You can’t go from general insurance to commercial insurance. To insure a cab, and it will be rideshare, if you’re ridesharing, do a rideshare vehicle, you PL (personal liability) closer to $6-7,000.” And talking about PD (property damage).
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He said it could cost up to $10,000 to obtain additional personal collision insurance, which could deter some people who are considering driving for company when they come to the province.
Lowe said that current cab numbers remain at about 100 to 120 cab registers, about a quarter of what they were in the early 2000s.
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