Best Auto Insurance Companies For Rideshare Coverage

If you're a rideshare driver, it's important to know that your personal car insurance policy won't cover you while driving for a ridesharing service or transportation network company (TNC). While companies like Uber and Lyft offer some level of insurance coverage at certain stages of a trip, having your own auto insurance policy with ridesharing coverage can protect you in more situations. Many auto insurance companies offer coverage to rideshare drivers through an endorsement (or an addition) to personal auto insurance policies. Some of the companies that offer rideshare coverage include Progressive, Allstate, State Farm, USAA, Geico, and Farmers.

Companies like Progressive, Allstate, and Geico offer rideshare insurance

If you're a rideshare driver, you'll need rideshare insurance to fill the coverage gaps not covered by the company insurance plans of Uber and Lyft, which have high deductibles of $1,000 and $2,500, respectively. Most insurance experts recommend $100,000 of bodily injury coverage per person, $300,000 of bodily injury coverage per accident, and $100,000 of property damage coverage.

Progressive

Progressive offers rideshare insurance either as an endorsement on a personal auto policy or as a commercial for-hire livery policy, which comes with a higher premium. Progressive specifically requires this endorsement for all customers who drive for a rideshare company.

With Progressive's rideshare coverage, you benefit from one policy and one payment, extended coverages, and deductible reimbursement. This means that your coverages apply while logged in and waiting for passengers, and Progressive will reimburse you for the difference between the ridesharing company's insurance deductible and the deductible on your personal policy.

Allstate

Allstate offers rideshare insurance through its "Ride for Hire" rider on a personal auto insurance policy. This rider includes deductible gap coverage, helping you minimize out-of-pocket expenses if you need to file a claim. Allstate's rideshare coverage is available in most states and is affordable for many drivers.

Geico

Geico offers rideshare insurance coverage that replaces your existing Geico policy. By converting your personal policy to a rideshare policy, you will be covered by the same insurance whether the rideshare app is on or off. This is required for Geico customers who drive for any rideshare service.

Geico's rideshare insurance is available for all three periods of ridesharing: when the app is on and the driver is awaiting a passenger, when the driver accepts a fare and is on the way to pick up the passenger, and when the passenger is in the car and the ride is ongoing. The cost for rideshare insurance is slightly higher than a personal auto policy, but if you're a full-time rideshare driver, you'll likely need a commercial auto insurance policy, which is more expensive.

Rideshare insurance fills the gap between personal auto insurance and commercial auto insurance

Rideshare insurance is a specific type of commercial auto insurance policy designed for people who drive for rideshare or food delivery services such as Uber, Lyft, DoorDash, and Postmates. It fills the gap between personal auto insurance and commercial auto insurance provided by a rideshare employer.

Rideshare insurance is not a legal requirement, but it is highly recommended for rideshare drivers. While companies like Uber and Lyft provide insurance for their drivers, it is not as comprehensive as a regular car insurance policy and offers varying levels of protection depending on the driver's activity. For example, Uber and Lyft offer contingent insurance when a driver is active on the app but has not yet been matched with a passenger. This policy only includes liability insurance, which covers medical expenses for injured parties and damage to other people's property. Any personal medical expenses or damage to the driver's car are not covered.

Rideshare insurance is typically offered as an endorsement to an existing personal auto insurance policy. It addresses the coverage gaps left by minimum liability insurance, rideshare company insurance, and standard commercial insurance. It ensures that rideshare drivers are covered during the "app-on" period when they are waiting for or transporting passengers.

Most major car insurance companies offer rideshare insurance, including Geico, Progressive, USAA, Allstate, State Farm, and Farmers. The cost of adding rideshare coverage is usually less than $100 per year, but it may increase insurance bills if drivers need to raise their coverage limits above the state minimum.

You can get rideshare insurance as an endorsement on your personal auto insurance policy

If you're a rideshare driver, it's important to know that your personal auto insurance policy won't cover you while driving for a ridesharing service or transportation network company (TNC). This means that if you get into an accident while driving for a ridesharing company and don't have the right insurance, your personal liability car insurance policy may not cover the cost of damages, and you could even have your coverage dropped.

Rideshare insurance is designed to fill the coverage gaps not covered by the company insurance plans offered by Uber and Lyft, which have high deductibles of $1,000 and $2,500, respectively.

You can get this coverage as an endorsement or add-on to your personal auto insurance policy. This option is usually available to those who only drive for ridesharing companies part-time.

Progressive, for example, offers rideshare insurance as an endorsement on a personal auto insurance policy. The company specifically requires this endorsement for all customers who drive for a rideshare company.

Allstate also offers rideshare coverage through its "Ride for Hire" rider on a personal auto insurance policy. This rider includes deductible gap coverage, which helps minimise out-of-pocket expenses if you need to file a claim.

State Farm offers rideshare driver coverage that can help fill the gaps in coverage beyond what's offered by ridesharing companies.

USAA offers what it calls "Ridesharing Gap Coverage". This is a policy add-on that provides protection for the coverage gaps between your personal auto policy and the coverage provided by an app-based transportation network company (TNC) such as Uber or Lyft.

It's worth noting that not all insurance companies offer rideshare insurance in all states, so be sure to check the availability in your state.

Rideshare insurance is required if you drive for a ridesharing company

If you're a rideshare driver, you'll need rideshare insurance. This is because, when you're using your vehicle for business purposes, your personal auto insurance policy doesn't apply.

Ridesharing companies like Uber and Lyft do provide insurance cover for their drivers, but it's limited and comes with high deductibles. Uber and Lyft's insurance policies only kick in once you've accepted a ride request or are transporting a passenger. This means that, during the period when the app is on but you haven't accepted a fare, you may not be covered. This is where rideshare insurance comes in.

Rideshare insurance fills the gaps in coverage left by the insurance policies of ridesharing companies. It's a form of commercial insurance that addresses the specific needs of rideshare drivers. It's important to note that rideshare insurance is not the same as commercial auto insurance, which is designed for larger businesses with fleets of vehicles.

Several insurance companies offer rideshare insurance, including:

• Geico
• Progressive
• USAA
• Allstate
• State Farm
• Farmers
• Mercury

Rideshare insurance is relatively affordable, with policies costing as little as $6 a month. The exact price will depend on your insurance profile, but for most drivers, it's under $30 per month.

To get rideshare insurance, contact your insurer and ask about adding it to your existing policy. You'll likely need to have a personal auto insurance policy with the provider to be eligible for rideshare coverage.

Rideshare insurance covers the period when the app is on and the driver is waiting for a ride request

Rideshare insurance is a type of commercial auto insurance that fills the gap between a driver's personal auto insurance and the insurance provided by their rideshare employer. It is designed for people who drive for rideshare or food delivery services such as Uber, Lyft, Doordash, and Postmates.

Several insurance companies offer rideshare insurance, including:

• Progressive: Requires customers who drive for rideshare companies to purchase a rideshare endorsement, which extends coverage while logged in and waiting for passengers.
• Allstate: Offers a "Ride for Hire" endorsement that helps minimize out-of-pocket expenses if a claim is filed.
• State Farm: Offers rideshare driver coverage that extends beyond what is offered by rideshare companies, with a number of other insurance products available for bundling.
• USAA: Offers "Ridesharing Gap Coverage" to military members, veterans, and their families, filling the coverage gap between personal auto policies and rideshare company coverage.
• Farmers: Offers rideshare coverage while the app is on and the driver is waiting for a ride request, but does not provide coverage after a ride has been accepted.
• Geico: Offers coverage for all three periods of ridesharing (waiting for a request, en route to pick up, and during the ride), with a $250 deductible.

Frequently asked questions