Rideshare Insurance

Today, we’re going to be talking about rideshare insurance. Rideshare insurance is a type of car insurance policy or add-on that allows a driver to use their coverage while they are driving for Lyft, Uber, or similar rideshare companies. With rideshare insurance, drivers can fill in coverage gaps that occur while they are waiting for a ride request.

Uber and Lyft only offer liability insurance during that time, which means that drivers could be stuck paying for their expenses if they get into an accident. Rideshare insurance can also help drivers avoid the hefty deductibles that come with Uber and Lyft’s collision and comprehensive insurance, which only apply during the ride itself. 

Since rideshare insurance is a new kind of coverage, insurance companies sell different types. Hybrid rideshare insurance, for example, combines personal and rideshare insurance into a single policy. Rideshare insurance endorsements or extensions, on the other hand, can be added or removed from a standard car insurance policy. And in states where rideshare insurance is not available, drivers can purchase commercial car insurance instead.

Rideshare insurance usually costs less than $30 per month when purchased as an add-on to a personal car insurance policy. By comparison, commercial car insurance can cost up to $2,400 per year, making rideshare insurance a much more affordable option where it’s available.If you’re looking for rideshare insurance, here are a few things to keep in mind.

First, plan for the worst case scenario. If you can’t afford Uber or Lyft’s collision and comprehensive deductibles, buying additional rideshare insurance is in your best interest. When you’re looking for a rideshare policy, you need to be honest with your insurance company. If you fail to inform your insurer that you’re driving for a rideshare company, they may drop you as a customer.

Finally, make sure you compare quotes from at least three different insurers to make sure you’re getting the best deal on your rideshare policy. Now that you know how rideshare insurance works, you’re ready to start looking for coverage. I hope you enjoyed this session on everything you need to know about Rideshare Insurance. So always be sure to contact a professional before making any financial decisions.