Insurance Dispute May Make It Difficult To Get A Cab On New Year's Eve
Posted December 13, 2002
RALEIGH, N.C. — An insurance fight could mean lights out for taxi drivers on the biggest cab night of the year.
The North Carolina Reinsurance Facility claims taxi drivers have not been paying high enough insurance premiums. Now, they are being told to pay up.
Cab driver Danny Castleberry is organizing a possible strike on New Year's Eve. He said drivers are concerned about soaring insurance rates.
"It really could affect the economy in this city on Dec. 31," he said.
"It's too high. We used to pay like $1,400 for one year. Now, it went up to $2,700 and $2,900. It's not good," cab driver Charles Ndu said.
Ray Evans manages the North Carolina Reinsurance Facility. The company decided that the premiums cab drivers were paying did not comply with insurance laws and needed to be raised.
"We hate to see anybody subjected to large increases," Evans said. "Unfortunately, this is the premium whatever it comes out to be - paying for that combination of where they drive, how much they drive and what they do."
There are about 500 cab drivers in Raleigh. Approximately 360 of those drivers are insured through the state.