#USA #Chicago #Business Travel #National Limousine Association #University Transportation Research Center

New Study Unveils Hidden Risks in Business Travel Ground Transportation

A newly released study by the National Limousine Association (NLA) and the University Transportation Research Center (UTRC) reveals alarming gaps in safety and compliance within the business travel ground transportation sector. Unveiled at the Global Business Travel Association (GBTA) Convention in Chicago, the findings point to an increasing presence of illegal operators that threaten traveler safety and corporate duty-of-care obligations.

The Growing Threat of Illegal Operators

According to the findings, illegal for-hire services are rapidly evolving from casual street solicitation to sophisticated networks that leverage technology to appear legitimate. This evolution is concerning, especially as illegal operators adopt professional websites, engage in social media marketing, and utilize private messaging groups to connect with potential clients. Frequent hotspots for these illegal services include airports, hotels, and major conventions, where unverified operators often operate without the necessary licensing and insurance that regulated providers must adhere to.

“We've uncovered a hidden duty-of-care risk for business travelers,” stated Brett Barenholtz, President of the NLA. “This risk does not vanish once an employee leaves the airport terminal. Companies must ensure that the provider, the vehicle, and the driver are legitimate and safe.”

Key Findings of the Study

The study encompassed 17 prominent aviation and business travel markets across the United States, including cities like New York, Los Angeles, Miami, and Chicago. Preliminary findings include the following significant points:

• - Technology-Enabled Networks: Illegal transportation activities have now become organized and are increasingly supported by digital platforms.
• - Hotspots for Illegal Activity: Airports and major events remain persistent areas where unlicensed services flourish, often evading regulatory oversight.
• - Absence of Verification: Passengers are often transported without any background checks on drivers, inspections of vehicles, or accurate trip documentation.
• - Cost-Free for Unlicensed Services: Illegal operators dodge the costs tied to licensing, insurance, and taxes, unsettling the entire market landscape.
• - Fragmented Enforcement: Different jurisdictions enforce laws inconsistently, leading to unclear consequences for violators.

Additionally, the study has revealed that at least seven states have enacted laws that specifically criminalize the impersonation of rideshare or transportation network drivers, including California, Florida, and North Carolina.

A Call to Action for Corporate Travel Managers

In light of these findings, UTRC and NLA are urging corporate travel managers to take immediate measures to protect their employees and clients:

• - Prioritize Licensed Providers: Make it a priority to use approved providers and booking channels whenever possible to mitigate risks.
• - Conduct Thorough Reviews: Include ground transportation in risk assessments to verify licensing, insurance, and proper airport access.
• - Verify Details Independently: It’s crucial for managers to independently check the legitimacy of companies and drivers, especially for non-standard routes.
• - Educate and Track: Ensure that travelers are well-informed about the risks and maintain robust mechanisms for tracking and emergency communication.

A Framework for Future Safety

The research advocates for a national enforcement framework that emphasizes stronger regulatory authority and coordinated efforts at airports and major event venues. Suggested measures include:

• - Escalating Penalties: Establishing stricter consequences for non-compliance.
• - Updating Laws: Revising regulations to effectively tackle impersonation, illegal advertising, and unlicensed operations in the digital age.
• - Implementing Verification Technologies: Leveraging analytical tools and searchable licensing databases for better oversight.
• - Traveler Education: Providing informative signage and training materials for airport and venue staff to heighten awareness.

This study builds upon previous findings from a 2025 report by UTRC and NLA, and the forthcoming detailed report will serve as a resource for travel buyers, law enforcement agencies, and professionals in the private car service industry. The landscape of transportation safety and compliance is changing, and responding to these risks with diligence is more necessary than ever.

About the Organizations

The National Limousine Association functions as the primary advocate for the chauffeured ground transportation sector at all levels, connecting professionals from various segments of the industry. The UTRC, situated at The City College of New York, conducts essential research in transportation to enhance the country’s transit systems and infrastructure. For further information on their missions and initiatives, visit their respective websites.