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CUNA Mutual Unveils Ridesharing Service Protection

New endorsement covers credit unions financing cars for Uber and Lyft driver members.

By David Morrison | Updated on October 14, 2015

CUNA Mutual began offering a no-cost endorsement Wednesday that protects client credit unions from losses they could incur if a member crashes a financed car while driving for Lyft, Uber or another transportation network company.

TNC firms such as Lyft and Uber have taken off in recent years, riding a wave of public dissatisfaction with taxis and familiarity with mobile phone technology that supports the app-based services.

Should credit unions charge higher rates for car loans when members drive for TNCs?
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When announcing the TNC endorsement, CUNA Mutual honed in on the fact that neither the TNC’s insurance nor the drivers’ personal auto insurance may cover on-the-job accidents, leaving credit unions potentially at risk for losses.

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