Rideshare Insurance Coverage

Considering driving for Uber, Lyft, or Flywheel and wondering about rideshare insurance? Ridesharing has become more popular than avocado toast, but before you hop behind the wheel, make sure you have the coverage you need.

While rideshare companies offer their drivers insurance coverage, it can be patchy. You might be covered while you’re toting customers, for example, but if you have a crash after you drop your passengers off—when you're alone in the car—the incident may not be covered. (That’s the kind of surprise that makes people say things like, "I don't like surprises.") On the flipside, your personal policy may not cover accidents that happen while you’ve got a rider in the car.

When you’re a rideshare driver, coverage depends on when the accident occurs:

Period 0

App is off, and you’re not ridesharing. Your personal insurance policy may cover you if an accident happens.

Period 1

App is on, and you’re waiting to be matched with a rider. Your personal coverage probably doesn’t cover this period. Your rideshare company provides liability coverage for this period, although it may be a small amount.

Period 2

You’ve been matched with a rider, and you’re on your way. Your rideshare company offers primary coverage during this time.

Period 3

Your riders are aboard. Your rideshare company’s policy covers any accidents while your passengers are in the car.

If you become a rideshare driver, make sure to tell your insurance company. If they find out another way—such as when you try to file a claim—they might drop your coverage.