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Taxi Cabs/Limousine Service

Industry Code: 51200

Compulsory
Industry Custom Pricing - CR

This industry is for the operation of taxi cab, limousine and handi-bus services.

Operation Details:

The taxi industry is usually structured whereby taxi companies provide local personal transportation services through agreements with independent operators. These operators carry the taxi company's colours and logos and provide services under the taxi company's name. Independent operators pay a fixed "stand fee" to taxi companies, in return for dispatch and administrative services. Cab drivers then charge a fee to customers.

Taxi companies will provide a host of support services for independent operators which will include dispatch, administration, auto servicing, fueling, finance, etc. Some taxi companies will own and operate vehicles.

Taxi cab services are generally single passenger but could be multi passenger using mini vans, limousines, etc. The business can involve multi passenger "airporter" services, and taxi companies have also expanded fleets to include Handi-bus or DATS transportation services. Handi-bus or DATS services are generally contracted through municipal governments.

Underwriting Considerations:

Coverage is compulsory for the taxi companies and the companies must cover all workers who receive a salary, wages, commission, bonuses or other form of remuneration from the cab company. Independent-operators are not considered workers of taxi companies. They provide their services directly to the public. They operate with significant freedom and are typically only responsible for lease payments for the vehicle to the taxi-cab company or owner of the taxi-cab). Coverage will be extended to independent operators in this industry only when they have applied for, and had their application for personal coverage approved, under Section 15(1) of the WC Act.

Handi-bus or DATS services are generally coordinated directly by municipal governments or non profit publicly funded associations controlled by a municipal government. The services of the municipal government or the non profit groups are classified in the appropriate municipal industry.

Private contractors, taxi companies or independent operators who provide transportation services under contract to a municipal government or the non profit group are classified in industry 51200 - Taxi Cabs.

The taxi industry came under the Act on a compulsory basis effective January 1, 1978.

Industry Custom Pricing: Waiving Cost Relief Option

This industry has chosen to participate in Industry Custom Pricing effective January 1, 2010. Costs related to the aggravation of a pre-existing condition will not be removed from the experience record of employers classified in this industry. In return, the portion of premiums collected to fund retroactive cost relief has been removed from the industry rate, resulting in a reduction in WCB premium rates for the industry.

Premium Rate History:

Activities:

Aged Persons, Transportation Services for
Buses for Handicapped People and Aged, Operation of
Disabled Persons, Transportation Services for
Limousine Service
Taxi Service
Transportation Services for the Disabled and Aged
Rickshaw Services

Rate Group History:

In 1996, industries relating to vehicular passenger transportation were consolidated in this rate group in recognition of similar activities and exposures.

This industry is for the operation of taxi cab, limousine and handi-bus services.

Premium Rate History:

Activities:

Aged Persons, Transportation Services for
Buses for Handicapped People and Aged, Operation of
Disabled Persons, Transportation Services for
Limousine Service
Taxi Service
Transportation Services for the Disabled and Aged
Rickshaw Services

Operation Details:

The taxi industry is usually structured whereby taxi companies provide local personal transportation services through agreements with independent operators. These operators carry the taxi company's colours and logos and provide services under the taxi company's name. Independent operators pay a fixed "stand fee" to taxi companies, in return for dispatch and administrative services. Cab drivers then charge a fee to customers.

Taxi companies will provide a host of support services for independent operators which will include dispatch, administration, auto servicing, fueling, finance, etc. Some taxi companies will own and operate vehicles.

Taxi cab services are generally single passenger but could be multi passenger using mini vans, limousines, etc. The business can involve multi passenger "airporter" services, and taxi companies have also expanded fleets to include Handi-bus or DATS transportation services. Handi-bus or DATS services are generally contracted through municipal governments.

Underwriting Considerations:

Coverage is compulsory for the taxi companies and the companies must cover all workers who receive a salary, wages, commission, bonuses or other form of remuneration from the cab company. Independent-operators are not considered workers of taxi companies. They provide their services directly to the public. They operate with significant freedom and are typically only responsible for lease payments for the vehicle to the taxi-cab company or owner of the taxi-cab). Coverage will be extended to independent operators in this industry only when they have applied for, and had their application for personal coverage approved, under Section 15(1) of the WC Act.

Handi-bus or DATS services are generally coordinated directly by municipal governments or non profit publicly funded associations controlled by a municipal government. The services of the municipal government or the non profit groups are classified in the appropriate municipal industry.

Private contractors, taxi companies or independent operators who provide transportation services under contract to a municipal government or the non profit group are classified in industry 51200 - Taxi Cabs.

The taxi industry came under the Act on a compulsory basis effective January 1, 1978.

Industry Custom Pricing: Waiving Cost Relief Option

This industry has chosen to participate in Industry Custom Pricing effective January 1, 2010. Costs related to the aggravation of a pre-existing condition will not be removed from the experience record of employers classified in this industry. In return, the portion of premiums collected to fund retroactive cost relief has been removed from the industry rate, resulting in a reduction in WCB premium rates for the industry.

Rate Group History:

In 1996, industries relating to vehicular passenger transportation were consolidated in this rate group in recognition of similar activities and exposures.