In today’s gig-economy, many of us are looking for ways in which we can top-up our income, or use a number of different sources of income in order to cover the bills and keep food on the table.
If you have a car, then ride-share operations such as Uber or Lyft might be a way in which you can make your vehicle work a bit harder for you and add to your bottom-line.
Why do I need to think about insurance?
Before you embark on a career as an Uber driver, one of the key considerations is to ensure that you have the right insurance in place.
Your standard vehicle insurance is unlikely to provide you with the protection that you will need if you are giving lifts to paying passengers. However a number of insurance companies are now offering insurance packages specifically designed for Uber drivers and drivers with other ride-share operators.
If you are considering this type of insurance to give you the protection that you need as an Uber driver, you need to study it carefully in order to ensure that there are no gaps in terms of the activity that you’re looking to undertake –high-level online insurance quotes may not be detailed enough to give you the peace of mind that you need. Companies like Uber may offer a form of insurance, and you may need to have additional ride-share insurance to ensure full coverage and legal protection. Specifically, what you’re checking for is that you have the insurance coverage for before, during, and after ride requests, and that ride-share activities are covered in the location where you are planning to operate.
Why is ride-share insurance important?
If you’re on the road, there is a chance that you will be involved in an accident. Whether it’s a minor accident, or a major accident, there will most likely be some costs or expenses involved. Unless you have the right insurance policy in place, you may find that your insurance company isn’t prepared to cover your costs if the accident has occurred during work for Uber.
Even with specialist insurance, there may be different provisions that apply depending on what stage of the journey that you are at – if you’ve accepted the request, in the process of fulfilling the request, or after the request has been fulfilled.
A further consideration is the level of cover that your insurance provider is offering, if you feel that you may potentially incur higher costs than what is being covered, you may need to source top-up coverage or find an alternative provider.
It’s essential that you don’t try to undertake ride-share activities without the right insurance in place. If you assume that your standard vehicle insurance is sufficient, it’s highly likely that your insurance claim will be invalid if it becomes apparent that you were engaged on some form of ride-share activity at the time of the accident.
What happens if I have an accident?
Depending on the seriousness of the accident, you may need to call the police. Alternatively, it will be likely that your insurance provider will require some form of police report in order to initiate your claim. Your insurance provider will be able to provide you with a step-by-step guide of how to make a claim, and the information that you will need to be able to provide in order for your claim to be successfully processed.