What type of insurance is mandatory for taxi drivers in BC?

Taxi drivers in British Columbia are required to have commercial insurance specifically covering passenger service. This type of insurance is crucial because it provides the necessary coverage for the unique risks associated with transporting passengers for hire. Regular personal vehicle insurance does not encompass this activity, as it is designed for personal use rather than for commercial operations.

Commercial insurance for taxi drivers includes liability coverage, which protects against claims resulting from injuries or damages to passengers or third parties, as well as coverage for the taxi vehicle itself. This ensures that drivers have the appropriate protection while conducting business, safeguarding not only their financial interests but also the safety of their passengers and the general public.

The other options do not provide the needed level or specific type of coverage for taxi operations. All-purpose insurance and personal vehicle insurance are tailored for non-commercial use and do not meet regulatory requirements for vehicles engaged in passenger transport. Liability insurance only, while important, does not encompass the full range of risks associated with operating a taxi service, including vehicle damage and passenger injuries.