Whether you work for one of the major pizza delivery businesses in your area, or you sign onto a courier service, such as Uber Eats® or Grub Hub®, it’s essential to understand what type of auto insurance you need. In some cases, your employer may insure the vehicle you drive, but that doesn’t mean you won’t need coverage through your own insurance company. This overview explores the different ways you may be covered so that you can make sure your policy will meet your needs.

Are Delivery Drivers Covered by Their Employer’s Commercial Auto Insurance Policy?

Your employer, or the courier service that utilizes you as an independent contractor, is not free of liability. If you are involved in a severe accident, and your personal insurance coverage isn’t sufficient to cover the damages, your employer may be sued by the plaintiff. For this reason, many companies that offer food delivery services maintain their own insurance policies.

In some cases, the coverage only extends to vehicles owned by the company, such as pizza delivery companies that maintain their own fleet of cars. However, even Uber Eats, Grub Hub, and other delivery service companies offer additional protection to their drivers. Typically, the policy they get through their insurance companies provides as much as $1 million worth of coverage for property damages and bodily injuries. 

Why Do Delivery Drivers Still Need Their Own Commercial Auto Insurance Coverage? 

While $1 million may seem like quite a bit of coverage, it won’t be applied right away. As the driver involved in the accident, your own insurance will be billed. While you may obtain the lowest level of insurance allowed by law to keep your insurance rates low, you will need more coverage as a commercial driver. Your insurance company won’t cover you for accidents that occurred while you were working if you only maintain personal auto insurance. Fortunately, most companies now offer insurance packages that include people who work as delivery drivers.

The good news is that private companies offer packages that allow their delivery drivers to get discounted rates. For instance, Uber® offers a $50,000/$100,000/$25,000 policy that covers drivers between fares, which is a period that should generally be covered by the driver’s personal insurance policy. Even with the $1,000 deductible, this is a good deal for their drivers. Each insurance provider will offer different levels of coverage, so it’s beneficial to shop around for the best policy in your area.

While there are many choices available, it’s beneficial to work with an established insurance company that can meet your needs. Located in Cincinnati, OH, and servicing drivers throughout Hamilton, Butler, and Warren counties, Ohio Insurance Center Agency can help you obtain the coverage that will offer you the best protection at the lowest possible rates. As independent providers, their agents can help you shop and compare policies offered by a wide range of companies. To get started, visit them online or call (513) 522-6300 today.