What You Need to Know About Rideshare Car Insurance in 2025

 

With the rise of Uber, Lyft, and other rideshare platforms, more drivers are earning money through flexible driving gigs. But one thing many new drivers overlook is the importance of having the right rideshare car insurance. Driving for a rideshare company involves a mix of personal and commercial use, which standard auto insurance policies often don’t fully cover.

Understanding how rideshare insurance works is essential for protecting both your vehicle and your income.

Why Standard Auto Insurance Isn’t Enough

Most personal car insurance policies specifically exclude coverage when your vehicle is being used for commercial purposes—including driving for rideshare platforms. That means if you get into an accident while your app is on, your insurer may deny your claim. This could leave you responsible for expensive repairs or medical bills.

While rideshare companies like Uber and Lyft do offer some coverage, it only applies during certain phases of your trip—and it may not be enough.

How Rideshare Coverage Works

Rideshare insurance is designed to bridge the gap between your personal policy and the limited coverage provided by the rideshare company. It typically covers the period when your app is on and you’re waiting for a ride request—something that neither your personal policy nor the company’s coverage fully protects.

The right policy will offer protection during all phases of your driving: from waiting for a fare, to en route to a passenger, to completing the trip.

Get Help from Insurance Experts

If you're not sure whether your current insurance covers rideshare driving, it's time to speak with an expert. SoCal Insurance & Financial Services helps drivers find affordable, reliable rideshare car insurance that meets their needs without unnecessary costs. Don't wait until an accident happens—make sure you're fully protected today.