Rideshare Insurance

1. Rideshare Insurance

2. Introduction • Rideshare insurance is policy that assists a rideshare driver to cover the cost of the gap in commercial rideshare coverages that the transportation network provides for you. • The personal rideshare insurance exists for a reason; commercial auto coverage is not applicable when a driver turns on the app and is on any of the levels that is set on a semi-active stage of driving.

3. Commercial coverage • If you are employed by Uber, Lyft, and any other ridesharing service, be wary that you are not covered by normal drivers’ insurance when you are working for the transportation network. • If you are a casual rideshare driver, who uses the service occasionally, that should be sufficient. • If you rely on the rideshare service as the main source of income generation, you are on the move a lot and should already have or actively searching to get a form of Individual rideshare insurance.

4. Commercial Rideshare stages • Available • On trip • En route • Offline

5. Types of policies Additional Protection  • An insurance carrier could possibly provide some form of “additional protection” policy, usually known as the “gap” coverage. This type of coverage normally works in conjunction with the policy provided by the insurance carrier. It provides the rideshare driver with equal or additional coverage if they are out of the “available” phase, which is a timeframe when the driver is insured the most. 

6. Personal Insurance Coverage Extension • Few insurance carriers will allow rideshare drivers to extend their current personal coverage to include an additional rideshare protection policy with the service you provide. These policies are generally integrated with the driver’s personal insurance if taken from the same insurance provider. 

7. Hybrid Insurance Package • This type of coverage is designed in a way that it completely replaces your personal auto insurance with a policy that is focused solely towards a rideshare friendly plan. Often preferred by someone reliant on rideshare as their main source of income, these are not targeted towards the casual rider.  

8. Deductible Gap  • A ridesharing coverage will help a lot to reduce the cost of paying the deductible for corporate rideshare policies offered to you by your Transport Network Company. Even though your rideshare operator provides you with a corporate insurance, you still need to pay the high amount of deductible that your rideshare operator gets for you in case you get into an accident while working for them.  • An individual ridesharing insurance will help you cover for the gap between your personal auto policy’s deductible and the commercial rideshare policy’s deductible. For example: If your auto liability deductible is $1000, and the Commercial Rideshare Policy’s deductible is $2000, the individual ridesharing insurance will help on covering the $1000 difference between the two coverage plans.