A national study of illegal and unlicensed ground transportation operators examined hidden duty-of-care risks for business travelers. Many of these illegal operators use what appear to be professional websites, social media and private messaging groups to mimic licensed car services, the study showed. Conducted by the National Limousine Association (NLA) and the University Transportation Research Center at The City College of New York (UTRC), the details were presented at a recent Global Business Travel Association (GBTA) Convention in Chicago, noting that airports, hotels, convention centers and major events are recurring hotspots. The study found that unlicensed trips can create gaps in commercial insurance, client tracking, driver verification and emergency response.
“Duty of care does not end when an employee leaves the airport terminal,” said NLA president, Brett Barenholtz. “Companies need confidence that the provider, vehicle and driver transporting their people are safe, properly licensed and fully insured. As illegal operators become more sophisticated, verification must keep pace.”
Led by UTRC Transportation Technology Chair, Matthew W. Daus, Esq., the study examined 17 major aviation and business travel markets across the country.
“Illegal transportation is no longer only a curbside problem,” explained Daus. “It is a technology, jurisdiction and public-safety issue requiring coordinated enforcement, verification tools and updated laws.”
UTRC and the NLA recommend that corporate travel buyers and travel managers:
- Prioritize approved providers and booking channels, when possible.
- Include ground transportation in sourcing and risk reviews, verifying licensing, insurance and airport authorization.
- Independently verify the company, driver, vehicle and trip details.
- Educate travelers and maintain tracking, emergency communications and incident reporting.
Building a National Enforcement Framework Requires:
- Stronger authority, escalating penalties and coordinated enforcement at airports and major events.
- Updated laws addressing impersonation, illegal advertising, off-app solicitation and unlicensed digital dispatch networks.
- Verification technology, searchable licensing databases and license-number requirements for advertising.
- Traveler education through signage, QR codes and training for airport, hotel and venue personnel.
The study builds on a 2025 UTRC-NLA report in New York and New Jersey that helped advance reforms.
Source: Street Insider
