Rideshare Coverage
Rideshare insurance is a type of auto insurance designed for people who use their personal vehicle to drive for ridesharing services such as Uber or Lyft. It is intended to help address coverage gaps that can occur when a driver is logged into a rideshare app but not yet transporting a passenger.
Personal auto insurance policies are generally written for everyday driving, like commuting or running errands. Driving for a rideshare platform is considered business use, which can affect how a personal auto policy responds. Rideshare insurance exists to help bridge the difference between personal auto insurance and the insurance provided by the rideshare company.
How Rideshare Coverage Works
Rideshare coverage typically works alongside two other types of insurance:
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Personal auto insurance, which applies during normal personal driving
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Rideshare company insurance, which may apply once a trip is accepted or a passenger is in the vehicle
When a driver is logged into a rideshare app and waiting for a ride request, coverage from a personal policy or the rideshare company may be limited. Rideshare insurance is designed to help extend certain protections during this period.
Common Rideshare Driving Scenarios
Coverage often depends on what stage of driving you are in:
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Logged into the app and waiting for a ride
This is a common gap period where rideshare coverage may help extend parts of a personal auto policy. -
Accepted a ride or transporting a passenger
During this stage, the rideshare company’s insurance typically becomes primary, with coverage details depending on the platform and location.
Specific coverages and how they apply can vary based on the policy and state requirements.