Did you know that your personal auto insurance policy doesn’t extend to cover accidents when you are operating your car for work-related purposes? For example, if your boss asks you to make a few deliveries using your personal vehicle and you are involved in an auto accident, your policy may not cover the damages. While this can be a very rare situation for some, for others that often run work errands in their personal vehicle or those who participate in popular rideshare programs—this could be a serious issue that you’ve overlooked. However, there are certain scenarios where your employer may offer coverage for your car, like when you work as a pizza delivery driver. But in most cases, you may need to ask your employer or local insurance agent about supplemental insurance options. Keep reading to learn more.
Food Delivery and Auto Insurance: Am I Covered?
With the availability of fast and efficient food delivery options increasing across the US, it only makes sense that more drivers are worried about how their insurance coverage will be affected. If you’ve ever considered signing up with a local fleet of drivers to make some side money or you’ve seen the food delivery vehicles on the road in increasing numbers, you may be curious about who would end up paying if one of these vehicles were involved in an accident.
Typically, driving your personal vehicle for a delivery service means that your current auto insurance policy will not cover you, your vehicle, or any other vehicles involved in a traffic accident. Personal auto insurance policies usually include a list of exclusions, with one of the most common outlining that if you use your vehicle in a “driving for hire” situation, there are not responsible for any damages. While there can be exceptions to this rule or additional insurance coverage options that could be used in place of your traditional auto insurance policy, it’s always best to speak with one of our knowledgeable insurance agents in the greater Appleton area to discuss your options.
In some cases, the company that you are driving fore may offer auto insurance coverage to help protect you and your vehicle when you are making a delivery or drop-off. However, some very specific requirements must be met for this insurance protection to kick-in. For example, the popular rideshare app Uber will provide some insurance coverage to their drivers if the app in on during the time of the collision, and the driver was in the process of picking up or dropping off a customer. In some cases, even if the app is on, some rideshare and delivery companies won’t offer auto insurance protection if you are sitting and waiting for your next pick-up.
Additional Insurance Options
Depending on your needs, you may be a good candidate for hired and non-owned auto insurance. This type of insurance is designed to provide liability coverage for property damage and bodily injuries that you may cause while making deliveries. If you are someone who frequently uses rental cars for work or you are often required to use your personal vehicle to complete work-related duties, this may be a good option. Unsure whether hired and non-owned auto insurance may be the right choice for your needs? Don’t hesitate to reach out to one of our friendly local independent agents for more info. Typically, this important insurance option can easily be added as an endorsement to your general liability coverage.