Rideshare insurance has become increasingly popular in recent years with the evolution of companies like Uber and Lyft. If you’re working for a rideshare company, you’ll need special protection that isn’t covered under your basic personal auto policy. Learn how rideshare works and what you can do to make sure you have the right protection for your vehicle.
How does rideshare insurance work?
Rideshare is any transportation service in which clients use an online app to request rides from nearby registered drivers. The drivers pick up their clients and drive them to their destination for a fee. No cash is exchanged because payments are processed electronically through the app.
Typically, rideshare companies, like Uber, offer insurance protection once a driver logs into the app, but coverage might be limited until a ride request has been accepted. A driver’s personal policy will usually have coverage exclusions during this period as well. Rideshare insurance can fill these gaps in coverage.
Rideshare driver protection through Progressive
Progressive offers two ways to get rideshare insurance:
1. As a personal auto policy endorsement
Progressive customers can now add a rideshare endorsement to their personal auto policy in the following states:
- Alabama
- Arizona
- Colorado
- Delaware
- Georgia
- Idaho
- Illinois
- Indiana
- Iowa
- Kentucky
- Maine
- Massachusetts
- Michigan
- Minnesota
- Mississippi
- Missouri
- Nebraska
- New Mexico
- North Dakota
- Ohio
- Oklahoma
- Pennsylvania
- Rhode Island
- South Dakota
- Tennessee
- Texas
- Virginia
- West Virginia
This may be your best option if the rideshare company you’re working for doesn’t require you to carry a commercial policy. You might consider a black car livery policy if you’re driving for exclusive luxury rideshare services.
Call us at 888-806-9598 to speak with a licensed personal auto professional who can add a rideshare endorsement to your policy today.
Don’t worry if you don’t see your state listed. We might be able to protect you through a commercial for-hire livery policy while we work to make more states eligible for this endorsement option.
2. As a commercial for-hire livery policy
Rideshare drivers can also get rideshare insurance coverage through a for-hire livery policy. This is a type of commercial auto policy typically reserved for businesses who transport people such as a luxury vehicle or taxi service. Rideshare drivers qualify for this type of insurance because they generate income from transporting passengers.
The cost of rideshare insurance is generally higher under a for-hire livery policy because it isn’t exclusively intended for rideshare drivers. The good news is that you wouldn’t need a separate personal auto policy since a for-hire livery policy can cover you for both business and personal use.
We offer for-hire livery insurance in 38 states.
