Special Feature

Did You Know That Coverage is Excluded if You Use Your Vehicle for a Ridesharing Service?

Close-up of a person holding a cell phone with out-of-focus car in the background

Recently, companies such as Uber, Lyft, and Sidecar — i.e., networks that allow individuals to use their own private passenger cars to provide commercial ride-for-hire services — have received a lot of press and interest as they expand across America. You may have even hired one of these companies for a ride or considered providing rides for hire to earn some extra money. However, before using or driving for one of these transportation network companies (TNCs), you should take special care to make sure you understand how your insurance coverage applies to the situation.

Many companies’ insurance policies, including Umialik's policies, do not provide coverage for policyholders or their vehicles while being made available or being used for a TNC/ride-sharing service. Although a TNC may provide coverage for some circumstances, there could be gaps between that coverage and what is provided by your personal auto policy. Additionally, coverage limits provided by the TNC may be lower than your personal auto policy. If you are considering using a TNC and want to learn more about how your coverage applies, contact your Independent Insurance Agent.