Best Rideshare Insurance in Washington: Quotes, Discounts (2023)

Rideshare Insurance in Washington

Driving for a rideshare company like Uber or Lyft or a delivery service like DoorDash, Uber Eats, or Postmates can be a great way to explore your city while setting your own hours.However, there’s a good chance your personal auto insurance policy excludes coverage when you’re logged into your rideshare company’s app, and the rideshare company’s commercial liability coverage usually doesn’t kick in until you accept a ride.

To be covered the whole time you’re working, you need rideshare coverage. Use Insurify to find the rideshare insurance you need to keep driving safely.

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Rideshare Insurance Companies in Washington

Rideshare drivers in Washington state have lots of great options for insurance, including some well-known national insurance brands. Here are the cheapest options we found for car insurance that includes rideshare coverage.

See More: Cheap Car Insurance in Washington

How Rideshare Insurance Works

People often assume that you can start offering rides as long as you have a car, but that’s not really true because you won’t be covered the whole time. Your personal car insurance coverage will not cover you as long as you’re on the clock for a rideshare company, and your rideshare coverage will often not cover you if you don’t have a passenger.

Rideshare driving is divided into “periods” that all have different levels and responsibilities for insurance coverage. Here are the different periods you need to be aware of and who will cover you.

Period 0: App Off

If you’re driving for yourself and you haven’t logged into the rideshare app, your personal insurance will cover you. The rideshare company’s insurance will not play any role.

Period 1: App On, Waiting for a Request

This period of time, when you’ve turned on the app but you aren’t actively picking up or transporting a passenger, is a common coverage gap when you are highly vulnerable as far as insurance is concerned. Your personal coverage won’t cover you because you’re using your car as a commercial vehicle. However, the bulk of your commercial policy through the rideshare company also won’t apply because you’re not transporting anyone.

Some rideshare or delivery companies will cover you for a small amount of liability during this gap period; however, it only meets the state minimum requirements for any bodily injuries or damages you cause while you’re waiting for a passenger. The coverage will include your liability to pay another person’s medical bills or property damage that you caused, but it doesn’t cover your own medical expenses from a personal injury or damage to your vehicle.

If you were involved in the accident but it wasn’t your fault, you can make a claim against the other driver’s insurance. Your personal insurance policy might cover you in this situation even if you were logged into a rideshare app. Check with your personal insurance company to learn more about what to do in this situation.

Period 2: Ride Request Accepted, on Your Way to Pick Up a Passenger

When you’re heading to pick up a passenger after you’ve accepted their request, you should be covered by the rideshare company’s commercial policy. This typically includes:

• Third-party liability coverage: This insures you against bodily injuries or damages you cause to your riders, people in other vehicles, pedestrians, or property. It won’t cover your own injuries or damage to your vehicle.

• Uninsured or underinsured motorist coverage: This part of your commercial coverage insures you and anyone in your vehicle in case another driver causes an accident and doesn’t have sufficient insurance. This also covers hit-and-run accidents where someone else caused an accident but left the scene and can’t be identified.

• Contingent collision and comprehensive coverage: If you have comprehensive and collision coverage on your personal insurance, both Uber and Lyft will provide the same coverage while you’re driving for them. It will cover your car up to its actual cash value regardless of who causes the accident. Both companies have a deductible you have to satisfy before this coverage applies.

Period 3: Picking Up Your Passenger and During the Trip

You have the same coverage from Uber or Lyft that you had during period 2. Both of these rideshare companies provide liability, uninsured/underinsured motorist, and comprehensive and collision coverage.

As you can see, not carrying rideshare insurance can be risky because your Uber or Lyft insurance won’t cover you the entire time you’re logged into the app. If you provide rideshare services, you need to get a rideshare endorsement or separate rideshare insurance. If you don’t, you’re at risk of losing your personal auto policy, falling into coverage gaps for accidents that happen while you’re ridesharing or providing deliveries, and ultimately paying thousands of dollars out of pocket for repairs and injuries.

Note that the above periods only apply to ridesharing companies like Uber and Lyft, not on-demand delivery companies, which can be different. Coverage differs between delivery companies. For instance, Grubhub and Instacart don’t provide any car insurance, but you need to buy your own coverage if you want to drive for them. DoorDash only provides liability insurance while the food you’re delivering is still in your car, not while you’re waiting for a delivery or parked at the restaurant waiting for food.

See More: Best Companies for Rideshare Insurance

Washington Laws on Rideshare Insurance Requirements

Insurers will refuse to cover your claims if you don’t report rideshare activities, so it’s crucial that you stay abreast of laws relevant to rideshare insurance. Fortunately, rideshare drivers in Washington state have more protection than ever, thanks to a 2015 law regulating rideshare activities in the state.

It requires drivers for rideshare companies, also known as transportation network companies or TNCs, to carry at least $1 million in liability coverage and uninsured motorist coverage when transporting a passenger. It also requires the TNCs to provide a certain level of coverage to drivers who are logged into the system but haven’t picked up a passenger. The required coverage includes:

• $100,000 in bodily injury coverage for each accident

• $30,000 in property damage coverage

• $50,000 in bodily injury coverage per person

Washington Requirements for Rideshare Drivers

Uber and Lyft both have a fairly basic set of requirements for drivers. The specific requirements vary by city, but there are a few minimum standards the companies require of Uber or Lyft drivers.

You must meet the minimum age requirement and be legally allowed to drive. You will have to provide some basic documentation, including proof that you’re allowed to drive. If you’re using your own car, you must provide proof of registration and personal insurance. Next, you will need to complete a basic screening online for both services that will review your criminal history and driving record.

In some cities, like Seattle, you will also have to have a vehicle inspection done by a city-approved mechanic.

Filing a Claim After an Accident As a Rideshare Driver in Washington

Getting in an accident is scary enough, but if you are involved in an accident while you’re driving for Uber or Lyft, there can be an extra level of requirements you need to follow to make sure your accident is covered by insurance. First, take a breath and check in with everyone involved in the accident.

Next, report the incident immediately to both your rideshare company and the police. The rideshare app will have an additional section on next steps for you to follow.

Just like if you were involved in an accident on your own personal time, the biggest hurdle will be collecting all the necessary documentation from everyone involved in the accident. Make it easier on yourself by asking everyone involved in the accident for the following information:

• Names and phone numbers of any witnesses

• License plates and driver’s license numbers from other motorists who were involved

• Insurance documentation from any drivers who were part of the incident

Find Cheap Rideshare Insurance in Minutes

Tools like Insurify make it easy to find rideshare insurance in just a few minutes. Shopping around is the best way to find affordable coverage, and with Insurify, it’s easy to explore quotes from all the top insurers in Washington and compare them side by side. Just answer a few basic questions about yourself, your car, and your driving history, and review quotes in minutes.

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