Do you live in a big city? Maybe you don’t have a car. You will likely need a car at some point to get you from point A to point B.
These days, more and more people are using ridesharing as affordable methods of transportation. Many other people have begun to drive for rideshare companies to help make ends meet. Rideshare services like Uber and Lyft are major players in the mass transportation markets.
If you use rideshares, you want to know that your driver carries proper insurance. If you are the driver for a rideshare then you, likewise, want to cover all potential risks. Those risks include the risks faced by clients who ride in your car.
Did you know that if you are a rideshare driver that this is a commercial venture? When you pick up a ride, you are assuming liabilities for the safety of others, not just yourself. Therefore, your normal auto insurance policy may not offer enough coverage.
Why you need ridesharing insurance?
Insurance providers are now offering ridesharing insurance policies for people who drive for rideshares. These policies generally come with higher levels of liability coverage than normal auto insurance policies. You need higher levels of coverage because you operate your vehicle for commercial purposes.
Don't risk not having this insurance. Your insurance company may cancel your standard auto policy if it finds out that you are using your car for commercial purposes.
How to get ridesharing coverage
Ridesharing insurance comes in a variety of forms. Some insurance companies offer specific rideshare insurance policies. Others offer commercial auto insurance policies.
Most businesses that have vehicles hold commercial auto insurance policies. These policies aren't limited to just ridesharing companies. These policies usually have higher collision and liabilities coverage limits. Rideshare drivers might have to buy commercial auto insurance to operate.
On the other hand, some ridesharing companies offer supplementary coverage to their drivers. But, these policies may only be in effect while a driver carries a ride. During the period between dispatch and pickup, a driver might need to get supplementary coverage from an insurance company.
Also, many insurance companies are offering ridesharing insurance policies. These are policies that specifically replace your private auto insurance policy. These policies often carry higher limits. But, you won’t have to manage both a standard auto policy and any supplementary coverage.
If you are a rideshare operator, Insurance Agent2000 can help you compare your Pleasant Hill auto insurance options. Explore our website to learn more about ridesharing insurance, or call us at (925) 827-0510 for more information.