More Americans are choosing to have someone else take the wheel. The ridesharing market has grown considerably over the past few years. If you’re thinking about becoming a driver for companies such as Uber® or Lyft®, having the right type of auto insurance in place is a must. The following will give you a better idea of what coverage is needed, others you might want to add, and why you should review an existing policy with an insurance agent. 

What Types of Policies You May Need

As a rideshare driver, you’re using your vehicle for commercial purposes. Most auto insurance companies may require you to have commercial vehicle insurance. Depending on the carrier, this type of coverage typically includes property damage, which pays for repair and replacement costs if vehicles (yours and that of the other driver) are involved in an accident. Coverage also extends to medical treatment for injured drivers and passengers in accidents caused by you. In North Carolina, you're required by law to hold a minimum level of insurance if you're using your vehicle for commercial purposes.

What Types of Insurance You Should Add

Transporting passengers as a rideshare driver means you need to have the maximum amount of protection in place for the unexpected. You should strongly consider adding collision auto insurance coverage, which pays for damage to your vehicle when it is involved in impacts with other vehicles and property structures. Comprehensive coverage includes repair and replacement costs for damage caused by fallen tree branches, vandalism, theft, fire, and other natural disasters.

Unfortunately, there are drivers on the road who are operating vehicles without auto insurance. To protect yourself, your passengers, and the vehicle in these scenarios, consider adding uninsured and underinsured motorist coverage. Both will pay for medical treatment for you and your passengers’ injuries and property damage if you’re involved in an accident caused by an uninsured or underinsured driver. 

Why an Insurance Agent Should Review an Existing Policy

Before starting a ridesharing gig, take a close look at your existing auto insurance policy. An experienced insurance agent can help you review what coverage you currently have and let you know if it’s adequate for the type of work you’ll be doing. They can also make recommendations on which additional features are legally required and offer extra protection.

Make sure you’re properly covered before becoming a rideshare driver. A Better Choice Insurance Agency Inc in Concord, NC, will gladly discuss coverage options for this popular gig economy job. Their team of experienced agents at the family-owned firm partners with a network of leading auto insurance providers to bring you competitive rates and reliable coverage. To get started with a review of your existing policy, call (704) 782-2073. You can also go online to request a free, no-obligation insurance quote.