Auto Insurance: Uber Data

Uber provides commercial auto insurance to protect drivers in the case of a covered accident while ridesharing. This insurance is maintained on the driver's behalf and includes liability coverage, uninsured/underinsured motorist coverage, and contingent collision and comprehensive coverage. Uber Eats drivers are also covered by third-party liability auto insurance. However, personal auto insurance policies often exclude driving-for-hire, so drivers may need to purchase supplemental commercial auto insurance or switch to a provider that offers ridesharing insurance. Uber does not contact a driver's insurance company when they sign up, but it does verify that they have active insurance.

Uber auto insurance requirements for drivers

Uber maintains auto liability insurance on behalf of all US rideshare drivers while they are logged into the Uber app. However, drivers also need to maintain their own automobile liability insurance on all vehicles they operate while driving for Uber. This personal auto insurance should have limits equal to or greater than the minimum requirements for the state where they drive.

Uber's insurance coverage starts the instant a driver taps "Go" on the app to wait for a ride request. The company provides coverage from the time a driver is online with Uber until they accept a trip. Uber's insurance covers at least $50,000 for the driver's liability for bodily injury per person in a covered accident, $100,000 per covered accident, and $25,000 for property damage. This policy applies if a driver's personal auto policy does not provide coverage or if their policy's limits are lower than these amounts.

During an Uber passenger trip, drivers are insured for three things in case of a covered accident: third-party liability coverage, uninsured or underinsured motorist bodily injury coverage, and contingent comprehensive and collision coverage. Third-party liability coverage insures bodily injuries or damages caused to riders, people in other vehicles, pedestrians, or property. Coverage limits vary by state but are at least $1,000,000. Uninsured or underinsured motorist bodily injury coverage insures injuries to the driver and their riders if a covered accident occurs during an Uber trip, and another driver is at fault and doesn't have sufficient insurance. This insurance may also apply in the case of a hit-and-run. Medical payments coverage or personal injury protection may apply to healthcare, medical expenses, and/or funeral expenses if the driver and their riders are injured in a covered accident, regardless of who is at fault.

Uber's contingent comprehensive and collision coverage provides physical damage coverage for a driver's car up to its actual cash value, regardless of who is at fault. There is a $2,500 deductible that the driver must pay before this coverage applies. If a driver is in an accident, they can submit a claim directly from the Uber app or by contacting support.

Uber Eats auto insurance requirements

To drive for Uber Eats, you must have a personal auto insurance policy in your name that meets the minimum coverage requirements in your state. This means you will need to submit proof of insurance, along with copies of your car registration and driver's license.

Uber Eats will offer drivers some insurance coverage while they are on the job, but this is meant to supplement your existing coverage and only protects you when you are logged in as a driver and making deliveries. It will not cover you when running personal errands, driving to the gas station, or picking up your kids from school. Uber Eats insurance also does not cover accidents that occur in New York State.

Uber Eats auto insurance will cover 50/100/25 in liability coverage, but it does not cover your car or injuries, so you will need rideshare coverage. This can be added to your current policy, and rates for rideshare are quite affordable, ranging from $6 to $30 per month.

Uber Eats also offers optional, supplemental personal injury protection (PIP) to cover medical expenses and disability benefits of up to $500 per week, or survivor benefits. This added coverage costs $0.024 per mile, or $2.40 for every 100 miles.

Uber's insurance coverage for drivers

Uber offers its own rideshare insurance coverage, but it has several coverage gaps. Therefore, drivers should also have their own personal car insurance policy to ensure they are fully protected.

Uber's insurance policy, called Driver-Partner Insurance, only covers drivers when the app is running and they are working for Uber. It provides $1 million in third-party liability coverage to protect riders against covered accidents on the way to pick up passengers or while transporting them. However, this insurance does not cover drivers when the app is closed.

There are three main coverage periods:

• Period 1: The app is on, but the driver is waiting for a ride request. During this period, Uber offers third-party liability coverage of $50,000 in bodily injury per person, up to $100,000 in bodily injury per accident, and $25,000 in property damage per accident.
• Period 2: The driver has accepted a ride request and is on the way to pick up a passenger.
• Period 3: The passenger is in the car. This period ends when the passenger exits the car.

During Periods 2 and 3, Uber offers $1 million in third-party liability coverage. It also provides uninsured/underinsured motorist bodily injury coverage for the driver and their passengers if the other driver is at fault and is uninsured or underinsured. Collision and comprehensive insurance are offered up to the car's actual cash value, but this comes with a $2,500 deductible.

Uber drivers are considered independent contractors, not employees. This distinction has allowed the company to deny liability when their drivers are involved in accidents. Therefore, it is important for drivers to have their own insurance coverage in addition to Uber's policy.

Rideshare insurance can be purchased separately and is necessary to fill in the gaps in coverage. It can be added as an endorsement to a personal auto policy or through a separate commercial policy. This type of insurance is relatively inexpensive, typically costing less than $30 per month.

Uber's insurance coverage for passengers

Uber insurance coverage for passengers is a complex issue that varies depending on several factors, including the location of the ride and the status of the driver. Here is a detailed overview of Uber's insurance coverage for passengers:

• United States: In the United States, Uber provides up to $1,000,000 in insurance coverage for passengers. This includes third-party liability coverage, uninsured/underinsured motorist bodily injury coverage, and contingent comprehensive and collision coverage.
• Georgia: In the state of Georgia, Uber is required by law to provide a minimum of $1,000,000 in insurance coverage for passengers. However, this amount is subject to change. From July 1, 2023, the minimum coverage for underinsured motorist ("UM") insurance for rideshare companies in Georgia will be reduced to $300,000 for bodily injuries or death, with a maximum of $100,000 per person.
• Florida: In Florida, Uber is required to provide substantial insurance coverage for passengers, including $1,000,000 for third-party liability and uninsured/underinsured motorist coverage.
• International Travel: Uber's passenger insurance coverage varies drastically from country to country, making international travel a complex issue for insurance coverage.

Stages of Uber Driver's Experience:

• Stage 1: Driver is Offline: At this stage, the driver's personal insurance coverage is in effect.
• Stage 2: Driver is Online and Waiting for a Ride Request: During this stage, Uber provides third-party liability coverage and uninsured motorist coverage. The coverage limits vary, but it is typically $1,000,000.
• Stage 3: Driver is En Route to Pick Up Passengers or During Trips: This is the stage where the passenger's coverage is established. Uber provides $1,000,000 in third-party liability coverage, uninsured/underinsured motorist bodily injury coverage, and contingent comprehensive and collision coverage with a deductible.

Additional Considerations:

It is important to note that Uber's insurance coverage for passengers may not be sufficient to cover all expenses in the event of a severe accident. Passengers may need to seek additional compensation through legal means or their own insurance policies. Additionally, Uber's insurance coverage does not include rental car costs for drivers after an accident. Furthermore, Uber's coverage may not apply if the driver does not have personal auto insurance or if the driver's insurance policy excludes ridesharing.

Uber auto insurance for drivers with personal vehicles

If you're an Uber driver who uses their personal vehicle for work, you may be wondering how auto insurance works. Here's a detailed guide to help you understand Uber's auto insurance for drivers with personal vehicles:

Uber's Commercial Auto Insurance:

Uber maintains commercial auto insurance to protect drivers in the event of an accident while ridesharing on the Uber app. This insurance provides coverage from the moment you accept a trip until you reach the rider's destination. The specific coverage details vary by region, but generally include liability coverage, uninsured/underinsured motorist coverage, and contingent collision and comprehensive coverage.

Periods of Coverage:

Uber's insurance coverage can be divided into different periods, depending on your activity status:

• Period 1: When you're online and waiting for a ride request. During this period, Uber provides limited liability coverage, and your personal rideshare insurance fills in the gaps.
• Period 2: After you accept a ride request and are en route to pick up the rider. Uber's coverage takes over, providing protection for you and, in some cases, your vehicle.
• Period 3: When you're driving your customer to their destination. The coverage is similar to Period 2 and extends to the passenger as well.

Optional Injury Protection:

Uber also offers Optional Injury Protection insurance, which provides additional peace of mind for drivers. This insurance covers medical expenses, temporary or continuous total disability, accidental death, and survivor benefits. It is designed to minimize the financial impact of an accident, including lost earnings and unexpected medical costs.

Personal Auto Insurance:

It's important to note that your personal auto insurance policy typically only provides coverage when you're using your vehicle for personal transportation. It does not cover periods when you are online and waiting for ride requests, en route to pick up a rider, or during the ride itself. Therefore, it's essential to have the appropriate ridesharing endorsement or additional policy to ensure you're adequately insured while driving for Uber.

Rideshare Endorsement:

A rideshare endorsement or additional policy is necessary to fill the gaps in coverage between your personal auto insurance and Uber's commercial insurance. This type of policy ensures that you're protected during Period 1, when there may be limited liability coverage from Uber. It also prevents your insurance company from dropping you due to ridesharing activities.

Frequently asked questions