Ride-sharing is obviously here to stay and many people are working for ride share companies. If you drive for a ride-sharing company or are thinking of doing so, it's important to know the insurance implications if you drive your own personal vehicle in Berkeley and San Francisco Bay Areas.
Regular carpool or riding with a friend would be covered under your typical personal auto insurance policy, however, if you pick up and transport for a fee, there are likely some differences in insurance coverage.
Most California personal auto insurance policies exclude coverage when you’re using your vehicle for business uses. If you accept payment for transport, then you’re using your car for business. Therefore, if you drive for a ride-sharing company and your vehicle or passengers are injured or damaged, it’s likely your personal auto insurance policy in California won’t cover the damage.
Your ride share company’s insurance may also have gaps with your current car insurance policy if you’re waiting on a ride but haven’t got the passenger yet. It’s best to look at your current policy and the company’s to see if you have any insurance gaps between personal use, logged into the app, accepting a ride and the actual pick up.
Your insurance company is likely to consider you higher risk because you are driving for business. They see a higher risk because you may are driving more often, in different areas of town and more frequently especially in bad weather.
Let our agents at Fidelity Insurance Service in Berkeley and San Francisco Bay Areas evaluate your risk gaps and insurance policy if you are driving for a ride-share company to make sure you are completely covered.