SB3952 104TH GENERAL ASSEMBLY

LRB104 18307 LNS 31747 b

104TH GENERAL ASSEMBLY
State of Illinois
2025 and 2026
SB3952

Introduced 2/6/2026, by Sen. Erica Harriss

SYNOPSIS AS INTRODUCED:

625 ILCS 57/5
625 ILCS 57/10
625 ILCS 57/20
625 ILCS 57/25
625 ILCS 57/30
625 ILCS 57/31 new
625 ILCS 57/34 rep.

Amends the Transportation Network Providers Act. Applies the Act to transportation network company services that provide the transportation of goods, including goods from a retail store, warehouse, fulfillment center, or restaurant. Changes the term "passenger" to "customer". Removes the repeal date of the Act.

A BILL FOR

AN ACT concerning transportation.

Be it enacted by the People of the State of Illinois, represented in the General Assembly:

Section 5. The Transportation Network Providers Act is amended by changing Sections 5, 10, 20, 25, and 30 and by adding Section 31 as follows:

(625 ILCS 57/5)

(Section scheduled to be repealed on September 1, 2028)

Sec. 5. Definitions. In this Act:

"Customer" means a person or entity that requests and receives TNC services, whether as a passenger or as a recipient of delivered goods.

"Transportation network company" or "TNC" means an entity operating in this State that uses a digital network or software application service to connect customers passengers to transportation network company services provided by transportation network company drivers. A TNC is not deemed to own, control, operate, or manage the vehicles used by TNC drivers, and is not a taxicab association or a for-hire vehicle owner.

"Transportation network company driver" or "TNC driver" means an individual who operates a motor vehicle that is:

(1) owned, leased, or otherwise authorized for use by the individual;

(2) not a taxicab or for-hire public passenger vehicle; and

(3) used to provide transportation network company services.

"Transportation network company services" or "TNC services" means transportation of a customer passenger between points chosen by the customer or transportation of goods from a point designated by the customer or the TNC, including, but not limited to, a retail store, warehouse, fulfillment center, or restaurant, to a point chosen by the customer, passenger and prearranged with a TNC driver by the customer or the TNC through the use of a TNC digital network or software application. TNC services include both passenger rideshare and delivery services for consumer goods, including, but not limited to, groceries, retail items, prepared food, and packages. TNC services shall begin when a TNC driver accepts a request for transportation or delivery of goods received through the TNC's digital network or software application service, continue while the TNC driver transports the customer or goods passenger in the TNC driver's vehicle, and end when the customer passenger exits the TNC driver's vehicle or the goods are delivered at the point specified by the customer or the TNC. TNC service is not a taxicab, for-hire vehicle, or street hail service. TNC services do not include freight transportation, commercial trucking, or services provided by employees of the entity rather than independent contractors.

(Source: Reenacted by P.A. 101-660, eff. 4-2-21; revised 6-27-25.)

(625 ILCS 57/10)

(Section scheduled to be repealed on September 1, 2028)

Sec. 10. Insurance.

(a) Transportation network companies and participating TNC drivers shall comply with the automobile liability insurance requirements of this Section as required.

(b) The following automobile liability insurance requirements shall apply from the moment a participating TNC driver logs on to the transportation network company's digital network or software application until the TNC driver accepts a request to transport a customer or goods passenger, and from the moment the TNC driver completes the transaction on the digital network or software application or the ride or delivery is complete, whichever is later, until the TNC driver either accepts another ride request on the digital network or software application or logs off the digital network or software application:

(1) Automobile liability insurance shall be in the amount of at least $50,000 for death and personal injury per person, $100,000 for death and personal injury per incident, and $25,000 for property damage.

(2) Contingent automobile liability insurance in the amounts required in paragraph (1) of this subsection (b) shall be maintained by a transportation network company and provide coverage in the event a participating TNC driver's own automobile liability policy excludes coverage according to its policy terms or does not provide at least the limits of coverage required in paragraph (1) of this subsection (b).

(c) The following automobile liability insurance requirements shall apply from the moment a TNC driver accepts a ride or delivery request on the transportation network company's digital network or software application until the TNC driver completes the transaction on the digital network or software application or until the ride or delivery is complete, whichever is later:

(1) Automobile liability insurance shall be primary and in the amount of $1,000,000 for death, personal injury, and property damage. The requirements for the coverage required by this paragraph (1) may be satisfied by any of the following:

(A) automobile liability insurance maintained by a participating TNC driver;

(B) automobile liability company insurance maintained by a transportation network company; or

(C) any combination of subparagraphs (A) and (B).

(2) Insurance coverage provided under this subsection (c) shall also provide for uninsured motorist coverage and underinsured motorist coverage in the amount of $50,000 from the moment a customer passenger enters the vehicle of a participating TNC driver, the TNC driver receives the goods requested by the customer at the designated pickup point, or the TNC driver begins en route to the designated pickup point after accepting the request until the customer passenger exits the vehicle or the delivery is completed.

(3) The insurer, in the case of insurance coverage provided under this subsection (c), shall have the duty to defend and indemnify the insured.

(4) Coverage under an automobile liability insurance policy required under this subsection (c) shall not be dependent on a personal automobile insurance policy first denying a claim nor shall a personal automobile insurance policy be required to first deny a claim.

(d) In every instance when automobile liability insurance maintained by a participating TNC driver to fulfill the insurance obligations of this Section has lapsed or ceased to exist, the transportation network company shall provide the coverage required by this Section beginning with the first dollar of a claim.

(e) This Section shall not limit the liability of a transportation network company arising out of an automobile crash involving a participating TNC driver in any action for damages against a transportation network company for an amount above the required insurance coverage.

(f) The transportation network company shall disclose in writing to TNC drivers, as part of its agreement with those TNC drivers, the following:

(1) the insurance coverage and limits of liability that the transportation network company provides while the TNC driver uses a vehicle in connection with a transportation network company's digital network or software application; and

(2) that the TNC driver's own insurance policy may not provide coverage while the TNC driver uses a vehicle in connection with a transportation network company digital network depending on its terms.

(g) An insurance policy required by this Section may be placed with an admitted Illinois insurer, or with an authorized surplus line insurer under Section 445 of the Illinois Insurance Code; and is not subject to any restriction or limitation on the issuance of a policy contained in Section 445a of the Illinois Insurance Code.

(h) Any insurance policy required by this Section shall satisfy the financial responsibility requirement for a motor vehicle under Sections 7-203 and 7-601 of the Illinois Vehicle Code.

(i) If a transportation network company's insurer makes a payment for a claim covered under comprehensive coverage or collision coverage, the transportation network company shall cause its insurer to issue the payment directly to the business repairing the vehicle, or jointly to the owner of the vehicle and the primary lienholder on the covered vehicle.

(Source: P.A. 101-660, eff. 4-2-21; 102-982, eff. 7-1-23.)

(625 ILCS 57/20)

(Section scheduled to be repealed on September 1, 2028)

Sec. 20. Non-discrimination.

(a) The TNC shall adopt and notify TNC drivers of a policy of non-discrimination on the basis of destination, race, color, national origin, religious belief or affiliation, sex, disability, age, sexual orientation, or gender identity with respect to customers passengers and potential customers passengers.

(b) TNC drivers shall comply with all applicable laws regarding non-discrimination against customers passengers or potential customers passengers on the basis of destination, race, color, national origin, religious belief or affiliation, sex, disability, age, sexual orientation, or gender identity.

(c) TNC drivers shall comply with all applicable laws relating to accommodation of service animals.

(d) A TNC shall not impose additional charges for providing services to persons with physical disabilities because of those disabilities.

(e) A TNC shall provide customers passengers an opportunity to indicate whether they require a wheelchair accessible vehicle. If a TNC cannot arrange wheelchair-accessible TNC service in any instance, it shall direct the customer passenger to an alternate provider of wheelchair-accessible service, if available.

(f) If a unit of local government has requirements for licensed chauffeurs not to discriminate in providing service in under-served areas, TNC drivers participating in TNC services within that unit of local government shall be subject to the same non-discrimination requirements for providing service in under-served areas.

(Source: Reenacted by P.A. 101-660, eff. 4-2-21.)

(625 ILCS 57/25)

(Section scheduled to be repealed on September 1, 2028)

Sec. 25. Safety.

(a) The TNC shall implement a zero tolerance policy on the use of drugs or alcohol while a TNC driver is providing TNC services or is logged into the TNC's digital network but is not providing TNC services.

(b) The TNC shall provide notice of the zero tolerance policy on its website, as well as procedures to report a complaint about a driver with whom a customer passenger was matched and whom the customer passenger reasonably suspects was under the influence of drugs or alcohol during the course of the trip.

(c) Upon receipt of a customer's passenger's complaint alleging a violation of the zero tolerance policy, the TNC shall immediately suspend the TNC driver's access to the TNC's digital platform, and shall conduct an investigation into the reported incident. The suspension shall last the duration of the investigation.

(d) The TNC shall require that any motor vehicle that a TNC driver will use to provide TNC services meets vehicle safety and emissions requirements for a private motor vehicle in this State.

(e) TNCs or TNC drivers are not common carriers, contract carriers or motor carriers, as defined by applicable State law, nor do they provide taxicab or for-hire vehicle service. This subsection (e) is inoperative on and after January 1, 2024.

(Source: P.A. 103-527, eff. 8-11-23.)

(625 ILCS 57/30)

(Section scheduled to be repealed on September 1, 2028)

Sec. 30. Operational.

(a) A TNC may charge a fare for the services provided to customers passengers; provided that, if a fare is charged, the TNC shall disclose to customers passengers the fare calculation method on its website or within the software application service.

(b) The TNC shall provide customers passengers with the applicable rates being charged and the option to receive an estimated fare before the customer passenger enters the TNC driver's vehicle or the delivery is requested.

(c) The TNC's software application or website shall display a picture of the TNC driver, and the license plate number of the motor vehicle utilized for providing the TNC service before the customer passenger enters the TNC driver's vehicle.

(d) Within a reasonable period of time following the completion of a trip, a TNC shall transmit an electronic receipt to the customer passenger that lists:

(1) the origin and destination of the trip;

(2) the total time and distance of the trip; and

(3) an itemization of the total fare paid, if any.

(e) Dispatches for TNC services shall be made only to eligible TNC drivers under Section 15 of this Act who are properly licensed under State law and local ordinances addressing these drivers if applicable.

(f) A taxicab may accept a request for transportation received through a TNC's digital network or software application service, and may charge a fare for those services that is similar to those charged by a TNC.

(Source: Reenacted by P.A. 101-660, eff. 4-2-21.)

(625 ILCS 57/31 new)

Sec. 31. Applicability. The changes made by this amendatory Act of the 104th General Assembly apply to all TNC services, including delivery, upon the effective date of this amendatory Act of the 104th General Assembly.

(625 ILCS 57/34 rep.)

Section 10. The Transportation Network Providers Act is amended by repealing Section 34.