Everything to Know about Insurance Coverage for Uber/Lyft Drivers
Insurance Coverage for Uber/Lyft Drivers
By Susanne Wickham-Cook, Personal/Commercial Lines Agent
We’ve had a lot of calls from customers wondering if their automobile insurance will cover them if they drive for Uber or Lyft, or if they are doing food delivery. Unfortunately, standard automobile insurance policies do not cover this.
While many rideshare companies and services provide some form of coverage for their drivers, this may not be enough to cover damages in the event of an accident. It’s essential for these individuals to have a comprehensive understanding of the different types of policies that can protect them, their passengers and other drivers on the road.
The first type is liability insurance, which covers medical expenses and property damage caused by an accident in which you are at fault. It typically includes bodily injury protection and property damage protection for both the other driver(s) as well as injured passengers in your vehicle. This is usually required by law when operating a motor vehicle.
Another type of policy available is uninsured/underinsured motorist coverage. This provides financial protection if you are involved in an accident with a driver who doesn’t have sufficient insurance or any insurance at all – covering both medical expenses and property damage.
Collision insurance covers repairs related to damages caused by collision with another car or object, while comprehensive insurance covers more broad risks like fire, theft, and vandalism, depending on what type of plan you have purchased. Both of these types of insurance also cover rental vehicles should a driver find themselves without wheels after an accident occurs during their ride-sharing service activities – but only up to certain limits agreed upon at time of purchase.
Finally, there are contingent liability policies available, specifically designed for individuals like Uber & Lyft drivers in order to supplement existing coverage gaps that may exist with standard auto policies. These usually provide additional security against anything not already covered by their insurer, including passenger injuries and legal defense costs.
It’s important for rideshare workers like those employed by Uber & Lyft, as well as food delivery drivers, to be aware and properly informed about the ins and outs of auto insurance before committing themselves financially to particular plans. Each option could bring unique benefits or shortcomings, depending on individual circumstances at hand.
If you’re one of these gig workers, it’s always a good idea to contact your insurance company to make sure you have proper coverage in case something unfortunate happens. You’re doing your best to get people safely where they need to go or to get them their dinner – you should make sure you’re safe and protected, as well.
If you have further questions about insuring yourself as an Uber, Lyft, or food delivery driver – or any other burning insurance questions – please get in touch. We’d love to help.