Do you work for a ride-sharing company, such as Uber or Lyft, where you schedule passengers via an app and transport them in your personal vehicle? You may already be aware that your personal auto insurance does not typically cover this type of business use of your vehicle. Personal auto insurance covers private passenger use of a vehicle, not commercial use.

Insurance for Ride-Sharing Employees

Your ride-sharing company might offer a policy with different levels of coverage and specific exclusions. Keep in mind that you may not be covered from the moment you start driving until your passenger is dropped off. Typically, your driving time is divided into different periods, each impacting your insurance coverage in specific ways. Limits and deductibles for these driving time periods can vary between ride-sharing company policies, so it’s important to review your policy carefully.

Period 1 – When the app is on, but you don’t have a passenger and aren’t in route to pick one up, you might have no coverage or reduced coverage through your ride-sharing company.

Period 2 – When you are driving to pick up a passenger; you may receive more comprehensive coverage through your ride-sharing company.

Period 3 – When you arrive at the pickup point, pick up the passenger, and transport them to their destination, you may receive more comprehensive coverage through your ride-sharing company.

Ride-Sharing Endorsements

Many insurance companies offer special endorsements for ride-sharing. These policy endorsements can address some of the coverage gaps not covered by ride-sharing company policies. If you don’t have the ride-sharing endorsement on your auto policy at the time of an accident, your personal auto insurance carrier may deny the claim.

If you are a ride-sharing driver, please let us know so we can verify whether you already have the endorsement or if we need to add it to your auto policy.