Driving for a rideshare company like Uber or Lyft can be a lucrative side hustle. But while you’re transporting passengers, your personal auto insurance policy doesn’t offer any coverage. You’ll need to purchase rideshare insurance to fill the gaps and protect you and others in your vehicle. Fortunately, there are lots of rideshare insurance companies that sell comprehensive policies. You might assume that all rideshare policies are created equal, but that’s not necessarily the case. The best rideshare insurance companies offer reliable coverage, affordable rates, flexible policy limits, helpful online tools, and have excellent third-party ratings for customer satisfaction and claim satisfaction. Best Rideshare Insurance Companies for 2024 Best Rideshare Insurance Companies for 2024 Final Verdict Compare Providers How to Choose FAQs Methodology Key Specs Why We Chose It USAA is highly rated for overall customer satisfaction and claims satisfaction, and the company’s rideshare insurance policies provide comprehensive coverage while driving for Uber, Lyft, or any other app-based delivery service. Pros & Cons Pros Excellent third-party ratings for customer service and claim satisfaction Premiums tend to be affordable Flexible deductible and coverage limits Cons Only available for military personnel and their immediate family members Not sold in every state Overview We selected USAA as the best rideshare insurance company overall because it’s widely recognized as one of the top insurance providers on the market. USAA’s rideshare coverage is reliable, customizable, and affordable. USAA’s rideshare insurance can be used for any type of ridesharing or delivery driving. You can get a free quote by logging into your USAA online account and seeing how much coverage costs in your area. USAA doesn’t advertise any discounts or add-ons for its rideshare insurance offering. If you need to file a claim, you can start the process online, through the mobile app, or by calling an agent, who will connect you with a claim adjuster. USAA partners with a network of over 2,800 repair shops, but you have the option to take your car to any shop of your choosing if it needs repairs after a covered claim. The biggest downside to USAA is that the eligibility requirements are strict. You can only purchase rideshare insurance if you are an active duty or retired military servicemember or the spouse or child of a servicemember. Additionally, USAA rideshare insurance is only available in 42 states, including Washington, D.C. Key Specs Why We Chose It Rideshare insurance from Mercury covers you while driving for Uber, whether you’re driving a single passenger or multiple people through Uber Pool. We also like that the coverage is affordable. Pros & Cons Pros Low-cost policies starting at $0.90 per day Covers Uber and most other Transportation Network Companies (TNCs) Helpful information online about what the policy covers Cons Very limited coverage area Overview Mercury is the best rideshare insurance company for Uber drivers because the policy specifically covers you when driving any number of passengers. You get the same coverage while transporting one passenger as you do through Uber Pool, where you might be driving multiple people. Another thing we like about Mercury’s rideshare insurance is that it’s pretty affordable. You can get coverage for as little as $0.90 per day, which equates to less than $30 per month. To get a free quote and purchase a policy, you can contact a Mercury agent. You’ll also be able to set your deductible and choose your coverage limits. Filing a rideshare insurance claim through Mercury is simple, and you can do it by phone, mobile app, or the company's website. Once you file a claim, you can track the status of the claim through your customer account. One of the major downsides of Mercury is that rideshare insurance is not available everywhere. In fact, the coverage area is very small. Currently, Mercury rideshare insurance is sold in Arizona, California, Florida, Georgia, Illinois, Nevada, New Jersey, New York, Oklahoma, Texas and Virginia. Key Specs Why We Chose It Insurance through Lyft can be expensive, and because Allstate’s rideshare policy includes deductible gap coverage, Lyft drivers can avoid paying the standard $2,500 deductible entirely out-of-pocket in the event of a claim. Pros & Cons Pros Policies are available in most states Includes deductible gap coverage to minimize out-of-pocket expenses Coverage is affordable for many drivers Cons Must have a current Allstate auto policy to purchase rideshare coverage Overview Allstate is the best insurance provider for Lyft drivers because every policy includes deductible gap insurance, which stays in effect during the entire duration of a trip. Plus, you can get coverage in almost every state, which is helpful if you drive passengers across state lines. If you end up in an accident while driving for Lyft and would be covered under its plan, Allstate helps cover the difference between its own deductible and the Lyft deductible, which is $2,500. Allstate doesn’t advertise how much coverage is available or what deductibles you can choose. The company does, however, mention that you can get coverage for “as little as pennies a day.” To get a quote and purchase the ridesharing endorsem*nt, you should call an Allstate agent in your area. Just keep in mind that you must already have a personal auto policy from Allstate. Allstate has great claim handling, with the option to file a new claim online, over the phone, or through the company’s mobile app. If you’ve never filed a claim before, Allstate has a few helpful resources on its website to guide you through the process. Key Specs Why We Chose It If you have a Progressive personal auto insurance policy, you can purchase a rideshare endorsem*nt and keep the same add-on coverages, like rental car reimbursem*nt, when you drive for Uber or Lyft. Pros & Cons Pros Coverage is available for rideshare drivers and delivery drivers Wide coverage area Personal policy add-ons remain active when driving for a rideshare company Cons Policies can be expensive Can’t purchase a policy online Overview Progressive is our pick for the best rideshare insurance company for coverage options. Any endorsem*nts you’ve added to your personal policy, such as roadside assistance or rental car reimbursem*nt, apply when you drive for a TNC like Uber or Lyft. Plus, you get full coverage during trips. You must have an existing auto insurance policy from Progressive in order to add the rideshare endorsem*nt. To get a free quote, you’ll need to contact an agent or fill out a form online. An agent can also explain what coverage limits are available and what deductibles you can choose from. Although Progressive doesn’t have online quotes for rideshare insurance, you can file a claim online if you get into an accident. Customers also have the option to file a new claim through the mobile app or by calling an agent. Progressive’s rideshare insurance is available in most states. Just keep in mind that Progressive’s rideshare coverage can be pricey, depending on your driver profile and existing car insurance premium. Key Specs Why We Chose It State Farm provides rideshare insurance to a wide variety of drivers. Whether you work for Uber, Lyft, Amazon Flex, or another delivery company, your State Farm rideshare policy will cover you during trips. Pros & Cons Pros All types of rideshare and delivery drivers qualify for coverage Most add-on coverages from your personal policy are included Easy to file claims online or through the app Cons Policies tend to be more expensive than some competitors Certain coverages are subject to state availability Overview If you drive for a delivery app, State Farm is your best choice for rideshare insurance. State Farm’s policies cover a wide variety of delivery drivers and it’s a good option if you drive for multiple companies, like Uber and Postmates, or Lyft and Grubhub. To get rideshare coverage from State Farm, you must already have a personal auto policy from the company. However, most of the add-on policies you’ve purchased, like roadside assistance, will apply when you drive for a delivery service. In terms of coverage limits and deductibles, State Farm doesn’t mention what options are available. If you want to get a quote or purchase an endorsem*nt, you’ll need to call an agent. If you get involved in an accident, you can start a new claim online, through the mobile app, or by contacting your agent via phone. One of the biggest downsides to State Farm is that its rideshare policies can be expensive. On the website, it says that adding a rideshare endorsem*nt can add anywhere from 15% to 20% to your existing premium. If you’re already paying a lot for personal car insurance, you might end up paying a much higher rate with the addition of rideshare insurance. Key Specs Why We Chose It Farmers has above-average ratings for overall claim satisfaction according to J.D. Power. Additionally, customers can choose to file a new claim online or through the mobile app, without ever contacting an agent. Pros & Cons Pros Easy claim reporting process Both TNC and delivery drivers qualify for coverage Cons Must work with an agent to purchase an endorsem*nt Limited information online about what the policy covers Small coverage area Overview If you want an insurance company with excellent claim handling, we recommend Farmers. The company is rated above-average for overall claim satisfaction in J.D. Power’s 2023 U.S. Auto Claim Satisfaction Study. Plus, you can file a claim online, through the mobile app, or by calling an agent, and track the status of existing claims from your phone or computer. Farmers rideshare insurance is available to most drivers in the gig economy, whether you work for Uber, Lyft, Amazon Flex, Grubhub, DoorDash, or another delivery service. To get the rideshare endorsem*nt, you must already have a personal car insurance policy through Farmers. Although we appreciate Farmers’ commitment to fast and fair claim handling, there are a few downsides to this provider. First, you need to contact an agent to get a quote or purchase a policy. There’s also no information online about what coverage limits or deductibles are available. Another thing to know is that Farmers has a relatively small coverage area. The endorsem*nt is available to drivers in 23 states. However, the coverage area has slowly expanded over the last several years. There are lots of insurance carriers that sell rideshare insurance to Uber and Lyft drivers. Based on our comparison, we found that USAA is the best provider overall. USAA consistently gets high ratings for customer service, customer satisfaction, and claims satisfaction. The coverage limits are flexible, and for drivers who meet the military eligibility criteria, it’s usually one of the more affordable providers. Rideshare coverage should be a top priority to the nearly two million Uber and Lyft drivers (not to mention those working for smaller, local livery firms or food delivery services) out on the roads here in the United States. Luckily, many companies now offer rideshare insurance policies that help bridge the gap between personal car insurance and rideshare company coverage. Whether you just want an add-on policy or full coverage both on and off the job, you can save yourself thousands of dollars in the unfortunate event of a car accident. If you drive for a rideshare service like Uber or Lyft, purchasing rideshare insurance is usually worth it. If you rely on your personal policy, it will not cover you and your passengers during certain parts of the trip. It doesn’t matter what type of insurance you have, how high your coverage limits are, or how often you drive for a rideshare service. However, it’s possible that the rideshare company you drive for provides some coverage during the trip. In this case, having personal rideshare insurance will offer more protection and peace of mind. Before you decide to forgo rideshare insurance, check to see what type of coverage you have through the rideshare company, if any. It’s important to compare rideshare insurance companies before you choose one. Here are some of the factors you should consider before purchasing a policy: Once you’ve made the decision to purchase rideshare insurance, you should reach out to an agent. Keep in mind that you will likely need to get rideshare insurance from the same provider that insures your personal vehicle. If your current insurer doesn’t sell rideshare coverage, you might need to switch to a different provider. An agent will explain how much coverage is available and what deductibles you can choose. If you’re not sure how much coverage to get, the agent can make a recommendation. After you set your policy limits and deductible, the agent will give you a quote. If you’re satisfied with the quote, the agent can walk you through the process of purchasing coverage. In the event of an accident, most insurance companies allow customers to file a claim online, over the phone with an agent, or through a mobile app. If your insurance company has a mobile app, you can probably use it to view your ID cards, pay your premium, and get connected to roadside assistance if you have it. Rideshare insurance is a specific type of auto insurance geared toward drivers who work full time or part time for one of the app-oriented livery companies, like Uber or Lyft. Typically, rideshare policies are offered in one of two ways: either as an add-on to an existing personal car insurance policy or as a standalone policy from an insurance carrier. Applying to both car damage and passenger injury, rideshare coverage offers a less expensive alternative to commercial insurance coverage and provides greater flexibility to part-time rideshare drivers. Rideshare insurance is typically more expensive than personal car insurance and cheaper than commercial auto insurance. The cost can vary from as little as $10 more per month to nearly double what a traditional car insurance policy costs. That being said, the exact price of rideshare insurance depends on several factors, including your driving history, location, coverage limits, credit score, and deductible. Rideshare insurance aims to fill the gap between a driver's own personal car insurance and the coverage offered by the rideshare company. Rideshare companies and insurance providers have agreed on a general guideline for rideshare coverage. These periods of work, often referred to as phases, are: Most rideshare insurance policies provide you with critical coverage, both liability insurance and personal, during that Phase 1 period when personal policies drop out but the corporate coverage hasn't yet kicked in. Additionally, some insurance companies, like Progressive, provide full coverage during all phases so that you don’t have to worry about where or with whom to file a claim in the event of an accident. Rideshare insurance is typically cheaper than full commercial auto insurance policies but more expensive than a traditional personal car insurance plan. Prices can vary from as little as $10 more per month to nearly double what a traditional car insurance policy costs. That being said, the exact price of rideshare insurance plans depends on several factors, including your driving history, location, and elected coverages. While some rideshare companies do not require drivers to have rideshare insurance, Uber and Lyft do require all of their drivers to be privately insured. Because your personal car insurance policy will not cover business use of the vehicle—which means transporting passengers or goods for money—getting rideshare insurance is a good idea. If you get into an accident without having rideshare coverage, and your insurance company finds out you were driving for a rideshare provider, the company could potentially cancel your policy. To find the best rideshare insurance companies, we reviewed 10 insurance carriers that offer rideshare endorsem*nts. We compared providers based on factors like coverage options, policy limits, premium, third-party ratings, coverage area, accessibility, and claim handling. We also looked for insurance providers that offer rideshare coverage to a wide variety of drivers, including delivery drivers. Article Sources Investopedia requires writers to use primary sources to support their work. These include white papers, government data, original reporting, and interviews with industry experts. We also reference original research from other reputable publishers where appropriate. You can learn more about the standards we follow in producing accurate, unbiased content in oureditorial policy. USAA. "Rideshare Gap Protection Coverage." Mercury. “About Mercury.” Allstate. "Ride for Hire | Allstate Car Insurance." Progressive. "Rideshare Insurance." State Farm. "What Is Rideshare Coverage?" J.D. Power. "2023 U.S. Auto Claims Satisfaction Study | J.D. Power." Farmers. "Rideshare Insurance." Mercury. "Mercury Insurance Launches Ride-Sharing." Progressive. "Rideshare Insurance." Related Terms What Is an Auto Insurance Quote? An auto insurance quote is an estimate of how much car insurance will cost you. It spells out the costs and limits of different types of coverage. more What Is Comprehensive Insurance and What Does It Cover? Comprehensive insurance is car insurance that covers damage to your car from causes other than a collision. Learn about comprehensive insurance costs. more California FAIR Plan Insurance: What You Need to Know California FAIR Plan insurance supplies coverage to homeowners and business owners who don’t qualify for traditional property insurance. more Subrogation in Insurance: What it Is and Why It's Important Subrogation is the right of an insurer to pursue the party that caused the loss to the insured in an attempt to recover funds paid in the claim. more Up-Front Mortgage Insurance (UFMI) Up-front mortgage insurance (UFMI) is a type of mortgage insurance policy made at the time of the loan. It is required on certain FHA loans. more Medicare Supplement Open Enrollment: What to Know Medicare Supplement open enrollment only happens once, according to federal guidelines. Don’t miss out on your chance to buy a Medigap plan. moreBest Rideshare Insurance Companies for 2024
Best Overall : USAA
Best for Uber : Mercury
Best for Lyft : Allstate
Best Coverage Options : Progressive
Best for Delivery App Drivers : State Farm
Best Claims Processing : Farmers
Final Verdict
Compare the Best Rideshare Insurance Companies
Company Price Industries Covered Coverage Limit Policy Types (list) USAA Best Overall Varies Rideshare, Delivery Varies Rideshare endorsem*nt Mercury Best for Uber Varies Rideshare Varies Rideshare endorsem*nt Allstate Best for Lyft Varies Rideshare, Delivery Varies Rideshare endorsem*nt Progressive Best Coverage Options Varies Rideshare, Delivery Varies Rideshare endorsem*nt State Farm Best for Delivery App Drivers Varies Rideshare, Delivery Varies Rideshare endorsem*nt Farmers Best Claims Processing Varies Rideshare, Delivery Varies Rideshare endorsem*nt Guide for Choosing the Best Rideshare Insurance Companies
Is Rideshare Insurance Worth It?
Comparing Rideshare Insurance Companies
Signing up for Rideshare Insurance Coverage
Frequently Asked Questions
What Is Rideshare Insurance?
How Much Does Rideshare Insurance Cost?
What Coverage Does Rideshare Insurance Provide?
Is Rideshare Insurance Expensive?
Do You Need Rideshare Insurance?
Where Can You Get Rideshare Insurance?
Insurance Company Availability Allstate All states EXCEPT: NY Farmers Available in:AZ, DE, GA, HI, IN, IA, KS, MD, MO, NE, NV, ND, PA, SD, VA, WV, D.C. Mercury Available in:AZ, CA, FL, GA, IL, NV, NJ, NY, OK, TX, VA Progressive All states EXCEPT:AK, CA, CT, DE, HI, KS, NV, NJ, NY, OR, VT State Farm All states EXCEPT: AK, HI, IL, MA, NY, RI, SD USAA All states EXCEPT: HI, NC, MI, MT, NM, NY, SC, VA Methodology
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See Also
Average Car Insurance Rates By Age and StateBest Car Insurance for 20-Year-Olds: How To Save (2024)At What Age Do Car Insurance Rates Go Down?Cheap Car Insurance for Young Adults in 2024 | Bankrate:fill(white):max_bytes(150000):strip_icc()/allstate-381ac71832cf4bb6b2c6d3e764d1bce7.png "Best Rideshare Insurance Companies for 2024 (3)")
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:fill(white):max_bytes(150000):strip_icc()/State-Farm-8fec3323ee154913af964f3d4a6cc46c.png "Best Rideshare Insurance Companies for 2024 (5)")
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FAQs
Best Rideshare Insurance Companies for 2024? ›
State Farm has the cheapest car insurance for rideshare drivers. It charges an average of $142 a month for a personal auto policy with rideshare coverage added to it. Although transportation network companies (TNCs) such as Uber, Lyft and DoorDash provide some insurance for drivers, it is not always enough.
Which rideshare company pays the best? ›Top Paying Companies
| 1 | Lyft | $56,193 |
|---|---|---|
| 2 | DoorDash | $52,949 |
| 3 | Uber | $52,664 |
Aug 16, 2024
State Farm has the cheapest car insurance for rideshare drivers. It charges an average of $142 a month for a personal auto policy with rideshare coverage added to it. Although transportation network companies (TNCs) such as Uber, Lyft and DoorDash provide some insurance for drivers, it is not always enough.
Should I tell insurance about rideshare? ›Engaging in ridesharing activities opens you up to potential liabilities that your personal auto policy may not cover, so an insurer could cancel or non-renew your policy if they find out you're driving for a rideshare service and didn't notify them.
Can you use Hugo insurance for Uber? ›Does Hugo work with Uber, Lyft, or other food delivery services? Unfortunately our policies at Hugo do not extend to ride share driving or food delivery.
What is the most profitable rideshare company? ›Revenue. In the first quarter of 2024, Uber's revenue grew by 15 percent compared to the first quarter of 2023, and Lyft's grew by 28 percent. But while Lyft had a greater increase, Uber earned 693 percent more revenue overall.
Who pays more, Lyft or Uber in 2024? ›This provides Uber drivers a longer window for receiving tips, potentially increasing their earnings. Driver Earnings: Earnings differ slightly between the two. According to recent data, Lyft drivers average $25.73 per hour. Lyft drivers' median earnings are higher at $210 per month, compared to Uber's $155 per month.
What is the best insurance for rideshare? ›Compare the Best Rideshare Insurance Companies
| Company | Price | Industries Covered |
|---|---|---|
| USAA Best Overall | Varies | Rideshare, Delivery |
| Mercury Best for Uber | Varies | Rideshare |
| Allstate Best for Lyft | Varies | Rideshare, Delivery |
| Progressive Best Coverage Options | Varies | Rideshare, Delivery |
Drive with confidence and secure your financial future with Optional Injury Protection. This insurance, offered through Uber's partner Aon, provides a safety net at a cost of under four cents per mile. Benefits include: Medical expenses: Coverage up to $1,000,000 without the need for deductibles or copays.
Can I write off my car for Uber? ›You can deduct the actual expenses of operating the vehicle, including gasoline, oil, insurance, car registration, repairs, maintenance, and depreciation or lease payments. Or you can use the standard IRS mileage deduction. For 2023 the rate is 65.5 cents per mile.
Does Doordash count as rideshare for insurance? ›
In most states, Progressive rideshare insurance covers drivers who operate on delivery service platforms like Uber Eats or Door Dash. The exact coverages that apply between your personal auto policy with rideshare insurance and any insurance provided through the delivery company may vary by state.
Does Progressive insurance cover Uber drivers? ›Yes, Progressive offers rideshare insurance as an optional add-on to a personal car insurance policy for customers who use their personal vehicle to drive for a rideshare company. Progressive rideshare insurance provides more coverage and has a lower deductible than the insurance offered by Uber and Lyft.
Is Buckle insurance legit? ›Is Buckle Insurance legit? Yes, Buckle is a legitimate insurance company. Its auto insurance policies are underwritten by Gateway Insurance, which has a strong financial strength rating from Demotech — that means it will be able to pay out claims even in difficult economic situations.
Is Hugo car insurance legit? ›Hugo is a legitimate insurance company. It's received positive ratings from customers and has a history of strong customer satisfaction.
Who owns Hugo insurance? ›The Santa Monica-based, venture-backed startup, established in 2016 and led by David Bergendahl and Andrew Grapsas, offers “the world's first pay as you drive liability insurance” starting in California.
What does Hugo cover? ›The Unlimited Full plan offers what Hugo calls full coverage — which includes collision, comprehensive and liability insurance — and is probably best suited for drivers who drive their car frequently. Unlimited Full coverage also includes medical coverage, accidental death coverage and rental car insurance.
What rideshare app pays the most? ›Ride-Hailing and Delivery Driving Apps to Make Money
- Lyft. Pay per hour: $17-30. ...
- Uber. Pay per hour: $18-33. ...
- Shipt. Pay per hour: $17-27. ...
- Spark Driver. Pay per hour: $18. ...
- Amazon Flex. Pay per hour: $17-21. ...
- Roadie. Pay per hour: $17. ...
- GoShare. Pay per hour: $20-36. ...
- FedEx SameDay. Pay per hour: $21-32. Google Play link: 4.5 (272K reviews)
On average, Uber paid its drivers more per hour than Lyft in 2022, according to Gridwise. Uber drivers had gross earnings of $21.14 per hour in 2022, while Lyft drivers were grossing $19.90.
Which driving app is best for earning money? ›You can make upwards of $25/hour driving for the following apps.
- DoorDash. Earning potential: Varies based on order. ...
- Shipt. Earning potential: $15 to $20/hour. ...
- Instacart. Earning potential: $15 to $20/hour. ...
- Uber Eats. Earning potential: $15 to $20/hour. ...
- Postmates. Earning potential: $10 to $15/hour. ...
- Grubhub. ...
- Amazon Flex. ...
- goPuff.
Jul 15, 2024
Based on what drivers make per delivery, Uber appears to come out on top. These are 2022 numbers for median deliveries per order. Although Uber Eats earnings per trip are 18% higher compared to DoorDash, DoorDash drivers complete 1.5 trips for every trip completed by an Uber Eats driver.