uber sioux falls

Why isn’t Uber in Sioux Falls?

The reason Uber is not in Sioux Falls is that the company does not want to collect and report sales tax. This keeps money from the city, instead pumping it back into a huge billion-dollar corporation. Sales tax should go to city to help offset costs like road maintenance. While taxpayers are footing the bill for road construction, Uber is skipping out on their contribution. Until Uber and ride-sharing apps start paying their sales tax contributions, they aren’t compliant with city policies and therefore aren’t allowed in Sioux Falls.

Is Uber cheaper?

Uber charges can add up quickly because of additional costs you may not be aware of. If you order a cab and change your mind, for example, a $5 cancellation fee is applied. Uber was having problems with keeping up with the demand of there customers; so there solution for that was to include a thing called surge fee. If you call Uber at high volume times, you could potentially be charged 4 to 8 times extra for your cab fare. This means getting an Uber after a concert at the Denny Sanford Premier Center will cost you more or you’ll have to wait until the surge price goes down later in the night. That itself could ruin your night. Taxis in Sioux falls are not allowed by city law to go over $3.15 a mile – with a $2.50 flag drop (First mile charge).

Is Uber Safer?

Sioux Falls taxi companys; each driver has to go through a back round check through the city department to make sure the person’s criminal background checks out. Along with this, the insurance company has to check the drivers driving past for to many speeding tickets or has not been any accidents. With these processes, it ensures the driver is reliable before they even start. Now with Uber this is completely different. All you have to do is sign up and have a car that is newer then 10 years old. They send out a team and inspect the car slap a sticker on your car and you are good to go. Which means they don’t check there employees as intensively. The only system they have is if the person gets to many low ratings on the stars; then the person will lose access to the app. However, that doesn’t say anything for the first people that have to ride with the driver to give those bad ratings.

Taxi Insurance

The insurance for a taxi company can be expensive, but with that you get up to half million dollar coverage if you were to get into an accident. That includes medical expenses. Now if you get in an accident with an Uber driver the coverage is the same as if you are riding with your friend. That means you have no coverage if you get into an accident. It is required for the Sioux Falls Taxi to have this insurance. There is no way for the taxi cab to operate legally with out this insurance, so you can rest assure all taxi cabs have this.

Sources

Information from downloading uber driver app and applying for driver position.

Insurance information came from owning taxi company and talking with insurance company.

http://www.argusleader.com/story/news/politics/2017/01/04/dont-expect-uber-sioux-falls-anytime-soon/96149882/

https://medium.com/@jimbumbulsky/the-true-economics-of-ubers-surge-pricing-2ed9de90fcae