This report, prepared by Matthew W. Daus for the National Limousine Association (NLA), provides an in-depth examination of the rising cost of commercial auto insurance for executive sedan, limousine, and broader for-hire vehicle operators across the United States. It is intended to inform industry stakeholders—including operators, insurers, and policymakers—of the systemic challenges contributing to these cost increases and to offer a roadmap for meaningful reform.

The report examines historical trends in commercial auto insurance premiums, identifying key cost drivers, including increased claims frequency and severity, legal and regulatory pressures, technological disruptions, and broader economic forces such as inflation and climate-related events. It contextualizes these challenges within the realities of operating a for-hire vehicle business, emphasizing their implications for operator viability and consumer affordability.

To address these issues, the report presents a comprehensive framework of immediate, short-term, and long-term strategies. These include risk management practices, regulatory adjustments, and alternative insurance models designed to stabilize costs and ensure the continued sustainability of limousine services nationwide.

The NLA and its members are committed to a premium, safety-first service model grounded in professionalism, reliability, and continuous improvement. The limousine industry prides itself on exceeding baseline legal requirements through rigorous driver vetting, preventative maintenance, and proactive risk management. This report advances reforms that recognize and reward operators who invest in safer, more reliable service for passengers.