What Impact Will Uber Freight Have on the Trucking Industry in Florida?
July 1, 2023 | Sagi Shaked | Truck Accidents
Founded in 2009, Uber has grown into a transportation giant that boasts over 100 million monthly users in the United States alone. Whether you need to get to work or across town for an event, Uber connects those who require transportation with individuals willing to drive them to their destinations for a clearly identified fee.
Uber has taken the concept of connecting those with needs and those who can fill their demands to the shipping industry. With the launch of Uber Freight in 2017, the company hopes to make inroads into a different segment of the transportation industry. Like its rideshare business, Uber Freight will present users with both benefits and challenges.
How Uber Freight Works
The premise of Uber Freight is the same as Uber itself. With Uber, if you need a ride but do not want to drive, you log into the app and enter relevant information, such as where you are going and the type of car in which you want to ride.
The app then detects your current location and identifies nearby drivers who are available to complete your trip. You see a price for the trip and select a driver from the list of options.
Uber Freight operates in a similar manner for those who need to ship goods. As the shipper, you enter details about the freight you want to ship, including the pick-up location and the delivery address. You then see a list of carriers available to complete the delivery and how much the delivery will cost.
The Impact of Uber Freight in Florida
Uber Freight is still a relatively young app, so it may take time before its effects are fully realized. One advantage of the app that has already been observed, though, is the opportunity for independent contractors and small trucking operations to compete on a more even playing field with larger carriers.
In addition, Uber Freight has the potential to make it easier to ship goods both within and outside of Florida. Sometimes, the paperwork and logistics of scheduling a shipment are complicated and time-consuming. Using an app to enter all the essential information for a shipment can make for a more accessible and streamlined process.
This is not to say that Uber Freight has no downsides. One of the chief limitations is that, like Uber, carriers who transport deliveries for Uber Freight are not employees of the company. Instead, each shipper participating in Uber Freight must carry at least $1 million in auto liability coverage and $100,000 in freight coverage.
In the event of a crash caused by an Uber Freight driver, Uber itself will not be liable for damages. If you or a loved one are hurt, and your damages exceed the carrier’s policy limits, you would only have recourse against the carrier. If that carrier does not have sufficient assets to cover your damages, you would likely be unable to seek additional damages from Uber.
The Uncertain Impact of Uber Freight on Florida Trucking
Uber Freight does have the potential to positively impact the trucking industry in Florida, especially for solo and small trucking enterprises. But by gaining more business and shipments through Uber Freight, these same operations will be at an increased risk of causing a trucking accident.
What benefits the trucking industry, then, could disadvantage drivers hurt in crashes that lead to damages exceeding the minimum insurance coverage required by Uber Freight.
Contact Our Truk Accident Law Firm in Miami, FL
If you’ve been injured in an accident in Miami, FL and need legal help, contact our Miami truck accident lawyers at Shaked Law Personal Injury Lawyers to schedule a free consultation.