If you don’t already know, ridesharing is a cab-like service that allows people to drive their own private vehicles to transport passengers. It has become quite a popular business in our country and in our area, with companies like Uber and Lyft.
Most likely, your standard auto insurance doesn’t cover ridesharing. That’s why Farmers Insurance now offers the Farmers Rideshare Endorsement. It extends your personal auto insurance coverage to make sure there are no gaps in your coverage from the beginning to the end of your shift as a ridesharing driver.
This policy also enables you to select the coverage that fits your needs, including:
- Comprehensive and collision coverages that pay for damages to your car
- Uninsured motorist coverage, in case you are hit by a driver who isn’t insured or is underinsured
- Medical payment and personal injury protection (if required)
As you can see in this image, it’s likely that your personal auto policy doesn’t cover you for a major part of the rideshare process. And rideshare companies like Uber and Lyft, only offer a small limited amount of coverage that can leave YOU on the hook for major out of pocket expenses if there is an accident.
While you would be covered for regular daily driving, without Farmers Rideshare Endorsement you would have just above state minimum coverage once you log into the company rideshare app. When you accept a ride or pick up a passenger the rideshare company’s insurance would cover your driving. But without the Farmers Rideshare Endorsement, the amount of coverage for the period when you’re between passengers is probably not enough.
This means that if, at any point during that period, you get into an accident (whether it’s your fault or you’re hit by an uninsured motorist), or your customer gets injured, you may not be covered. That’s why this Ridesharing Endorsement is so important.
Would you like to add the Ridesharing Endorsement to your auto policy so you can be fully covered? Call Jenna and our staff at 765-838-2781. We know you’ll be glad you did.