Uber storms out of Kansas over insurance requirements

As a result of heightened insurance regulations, app users are now prompted by a message that reads "KANSAS JUST SHUT DOWN UBER."

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Any Kansas residents who drank too many margaritas on Cinco de Mayo will have to hail a taxi, because as of late Tuesday afternoon, Uber will no longer operate in the state, reports The Kansas City Star.

In fact, Kansas smartphone users who try to access the app are now prompted by a message that reads:

KANSAS JUST SHUT DOWN UBER
NO PICKUPS EFFECTIVE IMMEDIATELY

At the heart of this contentious shutdown is a bill entitled SB 117, which calls for drivers of ride-sharing services such as Uber and Lyft to carry auto insurance "while the driver is logged on to the transportation network company's digital network, while the driver is engaged in a prearranged ride or while the driver otherwise uses a vehicle to transport passengers for compensation."

It further mandates that the policies include "$1,000,000 for death, bodily injury and property damage" while drivers actively transport passengers around, but also has stipulations for when they are logged into a ride-sharing network but have no assigned commuters.

While these heightened rules were originally vetoed by Governor Sam Brownback, the Kansas Senate and House overturned it, arguing that the insurance requirements were a necessity.

“Uber chose not to work with those their product will ultimately impact, and resisted compromise throughout the legislative process,” Senate President Susan Wagle said in a statement in April.

In a blog post, Uber said that SB 117 makes it "impossible" to function in Kansas, and accused lawmakers of destroying hundreds of jobs as the result of "unbalanced, backward regulations."

It also expressed intent to challenge the requirements, and encourages allies to vocalize support with the hashtag #BringBackUberKS.

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