LawWiki
HomeCodesSearchGlossaryAPIAbout
LawWiki

Plain English summaries of California law with zero-hallucination AI. Every summary is verified against official source text.

Product

  • Search
  • Codes
  • About

Legal

  • Privacy Policy
  • Terms of Service
  • Disclaimer

© 2026 LawWiki. All rights reserved.

HomeBusiness and Professions CodeDiv. 3Ch. 10.5Art. 4§ 7454 Driver Healthcare Subsidy

§ 7454 Driver Healthcare Subsidy

Business and Professions Code·California
AI Summary·Official Text·Key Terms·Related Statutes·References
AI SummaryReview recommended

§ 7454 Driver Healthcare Subsidy

Key Takeaways

  • •If you drive for an app (like Uber or Lyft) and work 25+ hours a week, the company must give you money to help pay for health insurance.
  • •If you drive 15-24 hours a week, the company gives you half as much money for health insurance.
  • •You must show proof you have health insurance to get the money, and you have 15 days after the quarter ends to do this.
  • •The company must tell you how many hours you’ve worked each pay period and each quarter.

Example

If you drive for a ride-share app 30 hours a week for 3 months, you get full money for health insurance.

The app company checks your hours every 3 months. If you worked 30 hours a week on average, they give you money to help pay for your health insurance plan.

AI-generated — May contain errors. Not legal advice. Always verify source.

Official Source
View on CA.gov

§ 7454 Driver Healthcare Subsidy

Healthcare Subsidy. (a) Consistent with the average contributions required under the Affordable Care Act (ACA), a network company shall provide a quarterly health care subsidy to qualifying app-based drivers as set forth in this section. An app-based driver that averages the following amounts of engaged time per week on a network company’s platform during a calendar quarter shall receive the following subsidies from that network company: (1) For an average of 25 hours or more per week of engaged time in the calendar quarter, a payment greater than or equal to 100 percent of the average ACA contribution for the applicable average monthly Covered California premium for each month in the quarter. (2) For an average of at least 15 but less than 25 hours per week of engaged time in the calendar quarter, a payment greater than or equal to 50 percent of the average ACA contribution for the applicable average monthly Covered California premium for each month in the quarter. (b) At the end of each earnings period, a network company shall provide to each app-based driver the following information: (1) The number of hours of engaged time the app-based driver accrued on the network company’s online-enabled application or platform during that earnings period. (2) The number of hours of engaged time the app-based driver has accrued on the network company’s online-enabled application or platform during the current calendar quarter up to that point. (c) Covered California may adopt or amend regulations as it deems appropriate to permit app-based drivers receiving subsidies pursuant to this section to enroll in health plans through Covered California. (d) (1) As a condition of providing the health care subsidy set forth in subdivision (a), a network company may require an app-based driver to submit proof of current enrollment in a qualifying health plan. Proof of current enrollment may include, but is not limited to, health insurance membership or identification cards, evidence of coverage and disclosure forms from the health plan, or claim forms and other documents necessary to submit claims. (2) An app-based driver shall have not less than 15 calendar days from the end of the calendar quarter to provide proof of enrollment as set forth in paragraph (1). (3) A network company shall provide a health care subsidy due for a calendar quarter under subdivision (a) within 15 days of the end of the calendar quarter or within 15 days of the app-based driver’s submission of proof of enrollment as set forth in paragraph (1), whichever is later. (e) For purposes of this section, a calendar quarter refers to the following four periods of time: (1) January 1 through March 31. (2) April 1 through June 30. (3) July 1 through September 30. (4) October 1 through December 31. (f) Nothing in this section shall be interpreted to prevent an app-based driver from receiving a health care subsidy from more than one network company for the same calendar quarter. (g) On or before December 31, 2020, and on or before each September 1 thereafter, Covered California shall publish the average statewide monthly premium for an individual for the following calendar year for a Covered California bronze health insurance plan. (h) This section shall become inoperative in the event the United States or the State of California implements a universal health care system or substantially similar system that expands coverage to the recipients of subsidies under this section. (Added November 3, 2020, by initiative Proposition 22, Sec. 1. Effective December 16, 2020. Conditionally inoperative by its own provisions.)

Last verified: January 23, 2026

Key Terms

insuranceenrollmentcalendar quartercovered californiadrivernetregulationhealth

Related Statutes

  • § 7450 App-Based Driver Protections
  • § 7451 App-Based Driver Independence
  • § 7463 App-Based Driver Definitions
  • § 7464 App-Based Driver State Regulations
  • § 7466 Emergency Regulations Authority

References

  • Official text at leginfo.legislature.ca.gov
  • California Legislature. Business and Professions Code. Section 7454.
View Official Source