Did you know that driving for Uber could invalidate your personal auto insurance policy?

Your personal auto insurance policy may not provide coverage for you while driving for a service like Uber.

That is because personal car insurance policies have a list of exclusions and they often include driving for hire.

If you are driving for uber you should check with your insurance company to confirm whether your the policy covers this commercial driving.

If it does not, which is most likely the case you want to consider purchasing supplemental commercial auto insurance, though many parts time drivers this may not be financially feasible as a matter of fact.

Uber does provide some auto insurance coverage and that's only when the application is on.

Uber requires all their drivers to have car insurance and provide supplemental insurance coverage, but only while the app is on.

Here is how it works. When the uber app is off, a driver is covered by their own personal car insurance.

When the Uber is turned on, a low level of liability the insurance becomes active.

When a trip is accepted, a higher level of coverage kicks in and remains active until the passenger exits the vehicle.

Previously Uber driver insurance had only offered coverage when a passenger was in a vehicle.

The company has since updated its policy, so it kicks in when the app is turned on.

Lyft and some of the other ride-sharing services point to the one million per incident access liability coverage.

That certain states require them to carry.

Policies are designed to deal with liability claims which drivers insurance doesn't cover obviously.

But these policies won't cover a drivers car.

You must count on your own personal auto insurance policy for property damages.

For that reason, insurance companies have recently created additional coverage options specifically for drivers of Uber and Lyft.

They are available mostly in all 50 states.

In the end, if you are looking to start driving for Uber your best bet is to be upfront with your insurance company about the fact that you will be driving for hire.

Find out if you need commercial insurance, and find out if you need a commercial drivers licence depending on what size Uber you are driving.

Thank you for watching and if you have any other questions for me, don't hesitate to give me a call at 314-352-6800.

Thank you very much and you have a good day.

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