Frequently Asked Questions
- Does My Auto Insurance Policy Cover Damages if I’m Ridesharing?
- Do I Have to Tell My Insurance Company About Being a Rideshare Driver?
- Do I Need Different Type of Insurance if I’m a Uber Driver?
- How Does Rideshare Coverage Work?
- I Have a Delivery Service. Will Carpooling Insurance Work?
- Does Car Insurance Work if I Use my Taxi?
Does My Auto Insurance Policy Cover Damages if I’m Ridesharing?
Unfortunately, your auto insurance policy only covers accidents during the time you’re driving for personal reasons. In other words, if you’re driving to work, school, shopping, etc., your auto policy will be in effect. If you’re on the ridesharing app and provide rides to others, even if you don’t have a passenger yet, your personal policy won’t help cover damages.
Do I Have to Tell My Insurance Company About Being a Rideshare Driver?
Yes, it’s also essential that you tell your insurance company that you’re driving for a rideshare company. If you have an accident and haven’t told them about your job, there’s a strong likelihood that they will cancel your policy altogether. If you have rideshare protection, then you have coverage in case of an emergency, and you won’t have to worry about your personal policy getting canceled.
Do I Need Different Type of Insurance if I’m a Uber Driver?
Yes. If you drive for Uber or any rideshare company, you must purchase a separate policy to cover you in case of an accident. You might wonder whether your regular auto policy will kick in if there’s an accident. That answer can be a bit tricky. Your auto insurance only covers you when you’re not driving for a business. In other words, when you perform your duties for Uber or Lyft, and an accident happens, your personal policy won’t cover the costs.
How Does Rideshare Coverage Work?
You must purchase a separate insurance policy for rideshare coverage. This ensures you’re always protected whether you’re “on the app” or offline. An agent will review the policy information with you, take your information, and get you started with a plan.
I Have a Delivery Service. Will Carpooling Insurance Work?
Maybe. If you deliver for companies such as Uber Eats. But it is bordering on using your personal auto for commercial reasons, so you should talk it over with an insurance agent.
Does Car Insurance Work if I Use my Taxi?
In most cases, if you use a taxi to transport people for a fee, you need to have commercial auto insurance, which is different from rideshare insurance.