Uber Car Insurance

uber car insurance
Today, the internet is disrupting nearly every major industry. From travel agencies that are now going almost extinct to taxi companies having to look over their shoulder at ride-sharing services, change is everywhere. I am not sure about you, but I am happy to see the near monopolies some taxi firms have had on cities get dismantled. Who ever thought a phone app could take on a nearly 100-year-old transportation business in a couple of years and them in many markets win.

Like many online companies grabbing attention these days, Uber & Lyft are some of the hottest firms in this fast growing space. If you are one of the many millions of people that jump into these ride-shared services, have you ever thought about if the automobile you are in is properly insured? Have you thought about the worst case scenario, like if you were in a serious accident, would there be proper insurance coverage to protect you?

Drivers must carry their Insurance and not Just the Ride Sharing Company

Both of the major ridesharing firms like Lyft and the larger Uber contract the actual transportation service to the drivers. This contractor status also includes automobile insurance, although both companies provide substantial “back-up” coverage. So when you jump into a ride-share car, you should be glad to know that there’s some hefty insurance backing you up. Each of the major players requires a relatively sizeable amount of coverage for their drivers to carry, so chances are you will be well covered.

Lyeft Coverage Provided For Drivers:

* $1,000,000 of excess liability protection

* Both Uninsured and Underinsured coverage plans

* Collision insurance covering $50,000

The purpose of the head company is to kick-in as an alternate gap insurer in the event the driver’s policy does not fully pay for all of the claim costs for any reason. So for example, let us say some Lyft driver smashed into someone’s property going 80 MPH and caused $500,000 in property and or bodily injuries. The Lyft coverage would mostly “drop down” and fill in where the driver’s policy would stop, this should be reassuring to passengers that this firm does have substantial insurance safeguards and in all, but the most disastrous instances should be able to pay for your claims. The $1 million in excessive protection will kick in if a driver is in an accident with an uninsured or under-covered person, this is pretty much “blanket” coverage that will protect both the driver and passengers for almost all accidents.

The $50,000 in collision coverage is in addition to any amounts the driver already has insured on their vehicle. Keep in mind that collision ins is when you do damage to your car and need repairs or even a total replacement, this added collision ins is comforting to drivers that are out working hard and being exposed to traffic for hours on end. If they get hit, they know that their money making automobile will be taken care of with this generous policy. Anyone driving with Lyft should be aware of the deductibles that he or she may need to pay out of pocket if an accident occurs.

Uber Auto Coverage for Drivers

Uber has a bit more detail to the insurance if offers drivers. The main difference between Uber and Lyft is coverage varies depending on when the driver is active with a passenger and not. This is called “available for pick-up but not driving a passenger.”

Also, “during passenger trip.” Two distinct coverages apply based on the status of the driver. When the driver is available but not driving a passenger the protection is:

$50,000 in injury

$100,000 for total injuries

$25,000 for property damage

All of the above three types of ins coverage are liability and fall in when drivers own personal automobile policy does not cover a claim. So for illustration purposes, let us say a driver goes to the airport to pick-up a client and while in route, hits another car and does $200,000 in total damages. Only after the driver’s policy is entirely used up would the 50/100/25 policy “drop down” and kick in. It is important to note, because this is the liability, if you get into a serious crash that you are responsible for, you better hope that you have serious collision and comprehensive insurance plan.

If you are in the process of driving a passenger, the following insurance is provided by Uber:

$1 Million of third party – liability insurance

$1 Million for both under-insured and uninsured driver protection

$50,000 of comprehensive and collision

To sum it up, both Lyft and Uber have solid insurance plans in place for drivers and passengers. In fact, their insurance policies may be even more comprehensive and protective than their taxi competitors. Get a free auto insurance quote today and see how easy you can get covered for less.

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[…] These are the people that we all share the road with in larger numbers each day, and you need defensive driving skills than can save your life more than […]

by Defensive Driving Can Save Your Life | 877-850-1267 call today! on November 23, 2015 at 7:39 pm. #