Recently there was a situation in which I had to contact my insurance company regarding my policy. During that call, I was given some very sobering news. I am insured under Progressive and I have been for the entire time that I have been driving with Uber. During my sign up with Uber, I was not alerted or instructed to check with my insurance company to verify coverage for rideshare. I showed the card to the agent and I was cleared to work. Uber never contacted me and said anything about the possible need for commercial insurance.
During this phone call with Progressive, I was informed that Progressive does not cover Uber, Lyft, or any other rideshare activity. This was breaking news to me. The question may have come up during my initial interview with Progressive but I was not driving for Uber at the time. Since I was not doing any kind of business work out of my vehicle, there was no need to move forward with the conversation.
During this call, I had to complete another interview. One of the questions that I was asked was about driving people around in my car. When the agent asked, I told her that I would do doing Uber. That is when she informed me that if I do Uber and I need to file a claim due to an Uber-related issue; my policy would be revoked, my claim would be denied, and I would not be eligible for a policy with them again.
I felt that this was a bit harsh. There was nothing that my feelings would do to change their policy. Once I learned this I wanted to know more about the coverage that Uber provides, and who offers other options to drivers. I started doing more research about Uber first and the insurance policy that covers drivers. What I learned was a bit shocking. The policy that Uber provides only covers a driver while a rider is in the car. So if something happens on a call prior to getting to a rider, Uber does not cover that.
The policy, in all actuality, covers the rider more than the driver. That was an interesting find. Uber expects the driver to be completely covered under their own policy unless the driver has secured a rider in the car. Outside of that, Uber does not take any responsibility for drivers being insured on the road. There are companies that pick up the slack there and offer additional coverage.
The additional coverage that they provide is called Commercial Insurance. This is coverage that kicks in when your personal insurance shuts off. Geico is one company that I have seen advertise that they offer rideshare insurance to Uber, Lyft, and other rideshare drivers. They are not the only company that offers this. It is up to you to searching find the company that best fits your needs.
In the event that a Uber driver rents a car through the Uber affiliate marketplace, insurance, and routine maintenance are included in the weekly price. The weekly price for renting can range from $190-$300 per week plus a deposit in some cases. That deposit can range from $250-$350 and is often times refundable. Drivers also have the option to upgrade or downgrade or simply change vehicles when they choose. You can return the car at any time and not incur charges.
It would also be wise to check with your current insurance company to see if they cover rideshare activity. It would not be good to learn about this after there has been an issue and your claim is denied by your insurance company. Double check your personal policy, learn more about a commercial policy, and make sure you are covered!
Be safe out there fellow drivers! Until next time…stay #UberDope