Did you know that 60 percent of restaurant owners have seen an increase in sales when offering delivery options for their customers? And with the introduction of third-party delivery services like Postmates and UberEats, more American consumers are using delivery services than ever before. However, what most people don’t realize when signing up to become a delivery driver is the fact that their personal auto insurance policy won’t likely provide coverage in the event of an accident. Have you been thinking about earning some extra funds as a delivery or rideshare driver? Keep reading to learn more about your insurance options before taking your first order.
Becoming a Delivery Driver: Will My Auto Insurance Policy Cover Potential Damages?
Typically, your personal auto insurance policy will not extend to cover damages that occur when completing work-related duties. Whether you are delivering a few boxes of stationery to a new client for your office job or rushing around Lake Geneva with a backseat full of pizza delivery orders, you will likely not be able to file a claim with your insurance provider to cover an accident. Because most auto instance policies include a “driving for hire” exclusion, you must look for other insurance options to keep you, your vehicle, and other drivers protected.
Some of the larger rideshare and third-party delivery companies so provide at least some supplemental auto insurance for their drivers. However, certain requirements must be met before a valid claim can be filed. For example, you must have the app open and running, as well as be in the process of picking up or delivering your cargo for the coverage to become active. If you are struck or hit another vehicle while waiting for your next delivery, there’s a good chance that you may not be covered. Since there is such a large grey area to deal with, it can be helpful to speak directly with one of our knowledgeable insurance agents before accepting a delivery position.
Hired Auto Coverage
If you need to fill the gap in your personal auto liability insurance while using your car for work-related duties, hired auto coverage may be a good option. This coverage option works to take the place of your employers’ liability but will not provide liability protection for anyone behind the wheel. If you are at-fault for an accident under this coverage, you will likely be liable for the other persons’ injuries and property damages. It can even be useful when operating a rental car.
Non-Owned Auto Coverage
With this type of coverage, you can get help to pay for legal expenses if your company is sued over an auto accident. For example, if you supervise a group of delivery drivers who operate personal vehicles, this coverage would protect your company. However, it would not extend to protect the drivers.
Contact Glass Insurance Center Today
If you’re interested in becoming a delivery driver in the greater Lake Geneva area, it’s important to learn more about your auto insurance coverage options. Because there is so much room for error and potential gaps in coverage, there is a chance that you could be driving unprotected and not even know it. Don’t get caught without the right level of car insurance protection when you need it the most. Call (262) 248-5555 or contact us today for more information and be sure to request a free quote.