Another disruptive technology hits local taxi industry
By adamg - 3/15/13 - 9:46 am
A company that offers something like a hitchhiker app launches today in the Boston area. SideCar, already available in several cities, lets users find people going their way - people the company says have been vetted to weed out serial killers and the like.
There's a fee involved, of course, which will no doubt catch the attention of the local medallion-cab company, whose traditional monopoly on fee-based car rides is already under assault by online reservation services such as Uber and Hailo.
Paul Levy is betting Boston will side with the medallion owners.
Comments
Now this is a stupid idea...
Stupid in the sense that I pay almost eight thousand dollars a year in insurance for my two vehicles. That's commercial auto insurance with a mandatory 1 million dollar liability coverage for accidents. I also pay general liability insurance and workmen's comp.
Are you seriously going to tell me some guy looking to make a few bucks driving people around in his 2002 Subaru wagon will carry that type of insurance? What if someone wants a ride from the airport? I also had to jump through hoops to get permitted to pick up at Logan. Massport wanted a letter from the town I garage my cars in saying I have permission to do business in that town. I also had to add Massport as additional insured on my auto insurance and I had to register and take a class to get the badge I have to wear when I'm on Massport property. Add to that the $3.25 I pay every time I pick up at Logan that allows me to park at special spots at each terminal. Will I start seeing 2007 Camrys trying to park in those spots now? Will they pay the fee?
Say what you want about this is a deal for the consumer, but at least you get a properly insured and permitted car with Uber.
Not that I think that sidecar
Not that I think that sidecar is a good idea, but if taking a taxi wasn't such a miserable fucking experience people wouldn't be so hot to look for alternatives.
Where have you read about sidecar getting to park at airport?
Where have you read about Sidecar drivers getting to park in the taxi lanes at Logan?
I didn't..I was
speaking hypothetically.
dvdoff
It sounds like the insurance company would have to step in on this one.
I've never read my policy that closely, but I assume there is a commercial for hire clause in there somewhere. You are right in the sense that these people would need to fight with the insurance companies if there ever was an accident.
But what is stopping me from giving someone a ride home that I meet at the airport from a flight? How about postings in college areas for rides home?
This is from the Sidecar
This is from the Sidecar FAQ:
Do I need special insurance?
SideCar requires community drivers to carry liability insurance coverage as mandated for all drivers by the state in which they drive. Before you start ridesharing with us, we will check to make sure you have valid coverage as required by your state, but it’s up to you to get that insurance for yourself. No special insurance coverage is usually needed for carpool/rideshare use of your vehicle, but you should check your car insurance coverage to ensure that ridesharing or carpooling is not excluded. SideCar does have a Guarantee Program (insert link to guarantee) that could cover you if your insurance is denied or exhausted. Please contact your insurance company if you'd like more information.
Seems like the insurance company could say that this does not qualify as "carpool/rideshare" use of your car under your current insurance policy. Otherwise, everything is carefully worded on the SC website to make it a "non-professional, non-commercial" ride-sharing service as opposed to a business.
It'll be interesting to see how this plays out.
"Donation"
Sidecar is sidestepping the whole debate by saying it is a "donation" service where (unlike Uber) you're paying the driver directly a rate that you agree upon in person, presumably in cash or barter.
The question is, what happens if you have a verbal agreement for $20 for a ride to the airport but then you get there and decide you only want to give the driver $5 or even nothing. Can the driver call the police? Or what if the driver tells the passenger he now wants $40 or you're being dropped off in the middle of the tunnel.
I would never offer up my car for the same reason I don't let Craigslist people inside the house. But I don't see what is different about this from just posting a "I need a lift to the airport" or "Pickup truck for hire" posts on Craigslist. It's buyer and seller beware.
I would assume you need to register with a credit card.
So that very thing wouldn't happen.
Nothing is preventing anyone from picking up anyone
at the airport or anywhere else. Once you start charging people to use your car as a livery vehicle (which this app seeks to bypass through their "donations" clause)you're getting into a whole new area, IMHO.
i love cab drama
if people got zany about uber, you are going to lose your shit with this one.
get ready for fireworks.
Cabbie Wars - must see cable
I see it now - Hailo, Uber, Cabbies, Limo drivers all arrive to pick up a passenger and when they can't decide who gets the ride, they are spirited off to some basement in Southie where they jump in a cage and fight it out until somebody says uncle. Gives you the best of Storage Wars, Ultimate fighting and that stupid show about the Southie family. Throw in a few signficant others and you can add in some real housewives action.
Uber
Am I the only one annoyed by Uber's minimum charge free. Ranging from $15-$25 is a bit pricey if I just want to get from Central sq to Porter for example.
The winner in this type of market is going to be able to provide the affordability normal cabs give with the non-shittyness, convenience and pleasantry that Uber provides.
How much do you think it should cost?
They're providing a premium service loosely in competition to either taxis (fare to go Central -> Porter is about $12, before tip) or the MBTA ($1.50 at the absolute cheapest). $15-25 seems fairly reasonable to me.
Dude..Uber is cheap when you consider
I just got $73.50 to drive someone from the Charles Hotel to the B school.
Yes, only one
That's about a typical cab ride for me after tip anyways.
Difference with Uber is I know I can get a ride when I want it. They know their way around, show up when they say they will, and are pleasant.
I will SO provide a premium when I actually get the service I wanted, just like I tip better for excellent service at a restaurant.
And, if you don't feel like paying, they're always a cab (if you can even hail one down)
Heck, when Uber knows something big is going on and there will be high demand for transportation, they institute demand pricing and raise their rates. Smart move, as instead of a bunch of angry customers who can't get rides, you just pay a little more and their great service remains the same. It shifts some demand off to other services, and gets more drivers out onto the street making use of that premium.
Sucks if you scoff at having to pay more, but in a time when its really, really hard to get a cab or livery service, it's worth it. It forces people to make decisions that free up service for those that actually need it.
Prediction
If this goes through in MA, there will soon enough be a lawsuit against them under the MA Tips law (just like Uber has experienced).