Commercial Auto Insurance For Uber Drivers

Commercial auto insurance can cover business vehicles and their drivers' liability and collision. The former pays for the other driver's repairs and medical bills in an accident. The latter pays for accident-related repairs and medical expenses.

Uber is a ridesharing service, also known as "ride-hailing," which competes with taxis and black car services. Passengers hail an Uber using a smartphone app and arrange for a car to pick them up, often for less than a traditional taxi would cost.

Uber Driving Could Void Your Auto Insurance
Your auto insurance may not cover UberX driving. Personal car insurance policies exclude "driving-for-hire" If you drive for UberX or a similar service, check if your insurance covers "commercial driving." If it doesn't, you'll need to buy supplemental commercial auto insurance, which may not be affordable for part-time drivers.

How Does Uber's Commercial Auto Insurance Work?
Uber mandates that all drivers carry auto insurance and provide necessary supplemental coverage while the app is active. From a corporate level, a driver's car insurance kicks in when the Uber app is off. The Uber app activates a low level of liability insurance from the corporation. When a trip is accepted, a higher level of coverage kicks in until the passenger exits. Uber driver insurance previously only covered drivers with passengers, but the company has since updated its policy.

What Does Commercial Auto Insurance Cover Typically?
In addition to liability and collision benefits, commercial auto insurance may include coverage for the following:

• Medical expenses or claims for damages resulting from an accident
• Theft, vandalism, falling objects, and weather-related damages are covered
• Damages brought about by uninsured or underinsured motorists
• Trailers used in conjunction with commercial vehicles
• You may incur rental vehicle expenses if you need a temporary replacement vehicle for your business
• Employee automobiles that are used for business purposes

Commercial insurance is necessary for business driving. Not just rideshare drivers carry it, but also trucks and company cars. Businesses insure their fleets of company cars with commercial policies. Basic commercial auto insurance covers you and your employees if they cause an accident. Liability coverage includes personal injury for another driver's medical bills and property damage for their car.

Conclusion
When driving for a service like Uber, it is essential to purchase commercial auto insurance. In ridesharing, insurance complications can arise since drivers are on the clock and cannot always control who they pick up. Many iInsurance companies work with part-time and full-time drivers daily to determine the optimal rate.

At CSIS Insurance Services, Inc., we do our best in making sure that our clients are well-protected with affordable and comprehensive policies. We make sure to go the extra mile to help you with your needs. To learn more about how we can help you, please contact our agency at (888) 501-2747 or Click Here to request a free quote. Topics and coverage discussed in this article are not guaranteed, consult with your agents to determine what your policy does and does not cover. We are more than happy to help!