If a person wants to go into business as a taxicab owner, what requirements should be imposed to protect the public? The prospective taxicab owner should show that he is honest and can operate a vehicle safely. His vehicle should pass a safety inspection, and he should have a liability insurance policy.
Some cities require the purchase of an existing license, sometimes called a medallion. A medallion has cost as much as more than $1 million, as in the case of New York City, and the cost has reached $700,000 in Boston and $360,000 in Chicago.