Rideshare CTP Insurance
Ridesharing drivers pay the same CTP premium as other passenger vehicles. Since 1 April 2018 they also pay 10 cents per kilometre or 6.6 cents per kilometre if the journey started in a country region. This applies only when the driver has a fare-paying passenger.
Difference between rideshare and taxis
There is an important difference between taxis and rideshare* vehicles.
Customers can catch a taxi in three ways:
- Go to a taxi rank
- Wave down a taxi on the street
- Book a taxi first.
Customers of rideshare vehicles have only one way: they must book their trips first by calling or using an app.
Rideshare vehicles are not permitted to have any signs, lights or markings that make them look like taxis.
- They must display a retroreflective sign, eg, Uber sticker, that shows the passenger it is a booking service.
- The sign must be clearly visible from the outside, and placed on or near the back of the driver’s side of the rideshare vehicle.
Rideshare drivers must apply for a Passenger Transport Licence Code on their drivers licence. Their vehicles must be registered and safe to drive on the road, in the same way as other vehicles. Owners have to get vehicle safety inspections each year and keep a record of all maintenance and repairs. They must also:
- Manage health and safety risks
- Show correct signs and marking
- Have criminal history and driver history checks
- Be competent with handling wheelchairs etc.
All drivers carrying passengers have a demerit point threshold of 14 (13 for other drivers).
A blood alcohol content limit of 0.02 applies when providing a passenger service. The rideshare vehicle must display a sign to show it is a hire vehicle so police know this lower limit applies.
When customers book a trip in a rideshare vehicle, the booking service provider must give a fare estimate first. The estimate may be a rate per hour, rate per distance, set amount or a combination. Customers must accept this estimate before they start the trip.
Mandated maximum fares for ridesharing apply.
Since 1 February 2018, booking service providers must charge $1 plus GST for every completed booking. It will last until June 2029 to fund the $250 million compensation package for taxi plate owners. Many owners were affected by disruption to the industry caused by rideshare services, such as Uber and GoCatch.
The passenger levy applies in the most populated parts of NSW. For example, Sydney, Dubbo, Tweed Heads, Griffith, Albury, Queanbeyan, Deniliquin, Narromine, Gilgandra, Tamworth, Narrabri, Moree, Boggabilla and Coonabarabran, Broken Hill and Wentworth.
The levy does not apply to the isolated, western parts of NSW, such as Balranald, Hay, Condobolin, Nyngan, Coonamble and Burren Junction.
Drivers of rideshare vehicles can use the industry portal and driver vehicle dashboard to stay current: https://www.pointtopoint.nsw.gov.au/
* Rideshare is a newer entrant to the point to point industry. Point to point vehicles include rideshare and hire cars, taxis and tourist services. The Point to Point Transport (Taxis and Hire Vehicles) Act 2016 and Point to Point Transport (Taxis and Hire Vehicles) Regulation 2017 set out new requirements for providers of all point to point services. The 2017 Regulation created two categories of service from 1 November 2017, Taxi service provider and Booking service provider, eg, Uber.