Lyft Insurance in Vermont
What is Lyft Insurance?
When driving for ridesharing platforms like Lyft, basic personal auto insurance may not provide adequate coverage. Vermont drivers who are operating on the platform usually need additional Lyft insurance.
Lyft insurance provides specialized auto coverages for Lyft drivers. Some policies can cover other ridesharing platforms, including Uber, as well.
Who in Vermont should carry Lyft insurance?
Most Vermont drivers who are on the Lyft platform need specialized coverage when logged into the app. Personal auto policies normally don't' cover this paid-for driving.
Does Lyft provide drivers with insurance?
Lyft does have insurance coverages that drivers usually receive free of charge. Exactly what coverages apply vary depending on what a driver is doing:
- Logged Off: Drivers generally aren't covered by Lyft when logged out of the app. Personal auto insurance is the only coverage that typically applies.
- Logged On: Drivers receive some basic coverages when logged into the app and are willing to receive requests. The coverages may include bodily injury ($50,000/person, $100,000/accident) and property damage liability ($25,000/accident)
- Giving Rides: When en route to passengers or actively driving them, drivers receive additional protections. The most notable is $1 million of third-party auto liability coverage. In addition to these, Lyft might provide uninsured motorist coverage, underinsured motorist coverage, personal injury protection (PIP), medical injury coverage, occupational accident coverage, and/or contingent comprehensive and collision coverage. These additional protections don't apply in all situations. An insurance agent who specializes in Lyft policies can help drivers determine whether they receive these coverages from the platform.
Coverages that are provided for free are almost always good to have, but they don't necessarily meet drivers' full insurance needs. For example, drivers need many of the additional coverages when not providing rides. Drivers might also want other coverages, lower deductibles, or higher limits.
How can drivers get more insurance for Lyft driving?
If drivers want more coverage when logged into the Lyft app, they might get the additional protection in a couple of different ways.
Some personal auto insurance policies offer an endorsement (or rider), which is an additional form of protection that provides specific, pre-defined coverages. While these coverages are generally fixed, they often offer substantially more protection than what Uber provides. Purchasing an endorsement can be quite affordable.
Alternatively, it's possible to purchase rideshare insurance that covers driving for Lyft. These policies typically offer more flexible coverage options, including varying limits and deductible options. They can be had at reasonable rates in most cases.
An insurance agent who knows Lyft's coverages well can help drivers evaluate their respective needs, in light of the platform's protections and additional protection options.
What coverages should drivers check before driving for Lyft?
Any driving requires consideration of multiple insurance coverages, and driving for pay (even on an app) requires especially careful consideration. There are multiple protections drivers should consider before driving for Lyft:
- Comprehensive Coverage, which typically covers damage to the insured vehicle only that's caused by incidents such as theft, weather events, or fire
- Collision Coverage, which typically covers damage to the insured vehicle caused by collisions with other vehicles
- Property Damage Liability Coverage, which typically covers damage to other vehicles, property belonging to others, and property belonging to riders
- Personal Injury Protection, which typically covers medical expenses and lost wages for the driver and passengers who are injured in an accident, regardless of who is at fault
- Bodily Injury Liability Coverage, which typically covers injuries sustained by people in other cars and pedestrians who are involved in an accident with the insured vehicle
- Uninsured and Underinsured Motorist Coverage, which typically covers accidents involving uninsured or underinsured drivers
- Rental Car Reimbursement Coverage, which typically covers the cost of a rental car if the insured vehicle is damaged in a covered incident
How can drivers get help with Lyft insurance?
If you drive for Lyft and need help evaluating your insurance options, contact the independent insurance agents at T.S. Peck Insurance. Our Vermont agents will make sure you're well protected through the standard Lyft insurance policy and additional coverages.
