Do you drive for Uber or Lyft?

Did you know there are coverage gaps when driving for a ride sharing company like Uber or Lyft? Don’t worry, we have a solution! First, let’s take a look at how Uber and Lyft cover their drivers!

Ride Sharet

When you have the ride sharing application off, your personal automobile insurance policy is active. Once you turn the application on, your personal auto policy is no longer active, but your Uber or Lyft liability coverage kicks on (Period 1). The problem here is there is no coverage for your vehicle itself, A.K.A coverage gap! There is no comprehensive or collision coverage on your vehicle while you are available and waiting for riders. Once you accept a ride and are en route to pick up the clients, the coverage then extends further including uninsured/underinsured motorist Injury as well as comprehensive and collision coverage (deductible varies between Uber and Lyft)(Period 2 & 3). You will remain covered while en route and throughout your trip. Once the clients have been dropped off at their destination, the cycle returns back to period 1 where liability coverage is the only coverage active.

Ride Share Uber Coverage

Ride Share Lyft Coverage

Now let’s take a look at a solution! Some insurance companies, but not many, are now offering specialized coverage for those that drive for a ridesharing company. This coverage extends from your personal auto policy to cover the gap while you’re working for a company like Uber or Lyft. The special ridesharing coverage is fairly inexpensive and can cost you less than $10 per month so you can drive more and worry  less!

Call our agency today for more tips and scenarios on how the ridesharing coverage could save you from a major headache!