Committee weighs HB 1789 requiring delivery network coverage and data sharing

Representative Jim Murphy presented House Bill 1789 as a response to insurance gaps for drivers delivering goods through apps. He described the measure as removing ambiguous 'delivery availability' language and requiring either delivery companies or drivers to maintain motor vehicle liability coverage that applies during soliciting and service periods, plus periodic reverification of coverage.

"If a company has hired a driver or contracted a driver, then they should always have commercial insurance that would cover any commercial activity," Murphy said, and added that the bill's committee sub would refine language, including a proposed six'month reverification period.

Hampton Williams of the Missouri Insurance Coalition told the committee the bill aims to prevent a lapse between personal auto policies and commercial coverage and would require companies to retain or supply evidence of insurance. Williams cited roughly 100 lawsuits nationally over the past decade addressing similar gaps and pointed to comparable laws in several other states.

Retailers and platforms raised concerns about any gap that would leave a driver uninsured, and a Walmart representative said the sponsor's proposed changes could address those concerns if the statutes ensure the personal policy and commercial policy "are stuck" so one takes effect when the other ends. Jeremy Lafavor of DoorDash said his company had been negotiating with the sponsor and disputed that mere app trolling is commercial activity; DoorDash said it would continue working on precise definitions.

Committee members questioned whether placing an "all purposes" independent'contractor label into statute is appropriate, and whether statutory minimum liability limits (25/50/25) were adequate for commercial deliveries. Witnesses and carriers noted that some carriers already include coverage in base policies while others rely on endorsements; committee members pressed for clear enforcement mechanisms and data sharing requirements so injured parties can identify liable insurers quickly.

The hearing closed with stakeholders agreeing to continue negotiations and the committee taking no vote on HB 1789.