A bill coming out of a political fight between the state’s trial lawyers and the ridesharing company Uber was fast-tracked through a Nevada Legislature committee this week.

Assembly Bill 523 would make ridesharing and delivery companies not liable for harm caused by their drivers or passengers — known as vicarious liability — as long as they provide at least $1 million in casualty insurance coverage to drivers, a decrease from the current minimum coverage of $1.5 million.

The bill comes out of a lengthy back-and-forth between Uber and the Nevada Justice Association, a group of trial lawyers in the state.

An Uber-funded political action committee, Nevadans For Fair Recovery, brought a petition initiative to cap attorneys’ fees in civil cases at 20 percent last year. The ballot initiative received more than 206,000 signatures, but the Nevada Supreme Court ruled unanimously in January that the initiative’s description was “misleading and confusing.” The decision prevented the initiative from going to the Nevada Legislature for consideration during the 2025 session or from going to voters in the 2026 general election.

In early February, the group turned some of its $5 million in funding toward a media blitz calling on legislators to cap attorney’s fees in the state.

Though AB 523 is not about the same subject as the petition, the parties called it a “compromise bill” during testimony in the Growth and Infrastructure Committee on Tuesday. Meeting the minimum insurance threshold would exempt Uber and other “delivery network companies,” like UberEats and DoorDash, and “transportation network companies,” such as Uber and Lyft, from vicarious liability.

“We feel like this bill strikes a good balance between giving the (transportation network companies) and the (delivery network companies) some stability in their business model while also creating a structure for this growing delivery network company business that’s expanding in our state and ensuring that we have that $1 million in coverage so we can make sure our citizens are protected,” Alison Brasier, president-elect of the Nevada Justice Association, told the Assembly committee during Tuesday’s hearing.

The bill would apply to cases brought up after Oct. 1.

It received a brief discussion among lawmakers and the two groups and no testimony in support or opposition. The committee considered and unanimously amended and passed the bill one day after it was introduced in the Legislature. It now goes to the Assembly floor.

“We want to get this issue resolved expeditiously,” Committee Chair Howard Watts, D-Las Vegas, said during the meeting.

John Griffin, a lobbyist for Uber, said the decrease from $1.5 million is in line with 48 other states and that most claims fall are for under $1 million.

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