Thinking About Becoming a Ridesharing Driver?


Scheduling, paying and hopping into rideshare vehicles has become so easy and convenient. Before you jump in head first and become a ridesharing driver, there are a few things to look at regarding your insurance.

Most ridesharing companies do have their own insurance in place while the app is on and you are “on the clock.” However, the coverage may be limited and you may not be covered for physical damage to your vehicle or may have limits on your liability coverage. Be sure to look into the limits of coverage before you sign up as a driver.

Some insurance providers do not cover your vehicle if you are using it for ridesharing at all. If your company is unaware that you are a ridesharing driver, you could void your policy and any coverage in the event of a claim. Be aware that there may be additional costs associated with ridesharing and some companies will not even offer coverage, so it’s best to know what is and isn’t covered before you begin.

If your insurance company offers coverage for ridesharing, they may view you driving for the company as a business activity or consider you a commercial driver. The companies that do offer coverage for ridesharing vehicles may require you to hold full coverage on your vehicle or they might have a limit of how many hours you can log as a ridesharing driver. Coverage may not be available if you have a certain number of tickets or accidents.

Be prepared and talk to your insurance broker if you are thinking or have become a rideshare driver to ensure you are protected.


By Natalie Stachniak