If you are a driver for a ride sharing program, such as Uber, Lyft and other programs, you may have questions about how this works with your auto insurance plan. People frequently ask how they are covered, how their passengers are covered, and how damages to their vehicle may be covered from unique situations that come up when you are a driver in these programs, part-time or full-time. Here is more detailed information to help clear up the confusion when it comes to your car insurance coverage.
Things to Know About Ride-Sharing and Auto Insurance:
If you share rides with co-workers or carpool to work, this would usually be covered under personal auto insurance plans, since this is not a ride sharing program that uses a phone app or pays you to drive. Check with your insurance company on specifics.
If you drive for a company transporting passengers for a fee, most insurance companies will treat this as business use for your vehicle and may not provide you with the same auto insurance coverage you would get sharing a ride with a co-worker or driving alone. You likely would not be covered while driving your vehicle for work purposes if you do not have this type of coverage.
Some ride sharing companies offer their own insurance. Make sure to thoroughly review their coverage to make sure it is enough, and it covers the situations that can come up from an accident while driving passengers for a fee using their ride sharing program, like Uber or Lyft.
Some insurance companies are providing additional ridesharing coverage options you can add to your current insurance plan if you drive for a company. This can help you get the extra auto insurance coverage to be an Uber driver, or Lyft driver, or whichever program you choose.
Saferoad Auto Insurance does not endorse any particular ride-sharing program; however we want to make you aware of possible auto insurance coverage issues that may come up should you choose to participate in these programs.
If you have questions about if you have the right type of coverage for these programs, our auto insurance experts can help – call us today at 877-945-7233.