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A UberX Insurance solution is on the way

Discussion in 'Sydney' started by g00r, Sep 10, 2015.

  1. g00r

    g00r Well-Known Member

    Hi all,

    As we all know, the two biggest issues facing UberX drivers in Australia are fines and insurance.
    Uber pays the fines, which works for now, and they also give us verbal reassurances that everything will be fine if the worst occurs.

    Excuse the teaser but
    Partner People should have a solution to the Insurance issue in the next 2 weeks.
    Currently in discussions with a joint partnership with two other national companies to offer a pro-rata insurance solution to all Partner People-Uber drivers.
    We're catching up next week to work out the finer details, but it should mean that the guy/gal that does 2 hours a week will pay a proportionate rate of insurance to the person who does 50 hours per week.
    (Base price plus percentage of fares).

    More information will be posted as it's confirmed
     
  2. drivindad

    drivindad Well-Known Member

    Location:
    Melbourne
    Driving:
    UberX
    Well done, I'll be signing up when it comes through.
     
  3. g00r

    g00r Well-Known Member

    Update from yesterday's meeting:

    I sat down with an insurer yesterday to discuss the gap in insurance for UberX drivers. They were keen to know exactly how Uber works, what the demographic of drivers were, what kind of vehicles people use and how many kms are traveled on average.
    They were really interested in the the concept I put forward about a pro-rata based premium, where you pay as you earn so that the guys driving 4 hours on a Saturday morning pay significantly less than those doing it full time.

    They're considering going down two routes:
    1. A complete product: The price would have two parts, the standard 'this is what it would cost to insurer your car already, even if you didn't drive for uber' and then the 'calculated Uber charge'
    2. An add on product for your existing insurance. You would effectively have two policies, so depending on what you were doing at the time of the incident, would dictate who you file a claim through.

    Because UberX is still new, they're having problems putting a price on the policies, because (enjoy this free chuckle) UberX drivers are unskilled compared to taxis.

    So some questions for the community:
    1. Do you recognise that your current policy is effectively voided if you had to claim while driving for uber
    2. Have you chosen a low cost insurance (Tiger) or a more inclusive policy (Qantas)
    3. What's your current excess?
    4. These guys are thinking around the $2k mark, similar to taxis (and because Uber generally pay half). Thoughts?
    5. What would you like to see included in the policy? Would you want a hire-car option given that it can't be used for Uber (registered to a company)? Income-protection: to pay your equivalent wage while you're car is off the road?

    Free stat: The average claim rate per annum is 1.5 claims. How do you fair?
     
  4. Avago

    Avago Well-Known Member

    Location:
    Sydney
    Driving:
    UberX
    Mate,
    Recently I got in touch with NRMA re driving "rideshare" on my full comprehensive policy, and it was suggested that Comprehensive with an " occasional Commercial Use " would be a better product.
    same if I had a pink Cadillac that I used for wedding etc...
    so I nominate the % of annual km that I'll be doing as an UberX, or whilst carrying passengers, and the premium was adjusted accordingly.
    I nominated 25% of total km ( based on 50% being whilst UberX driving and only half of that with passengers ) and my 2 year old 2 litre hatch's premium went from $80 pm to $120 pm... seems cheap for total peace of mind.

    see y'all out here

    Avago
     
  5. g00r

    g00r Well-Known Member

    Can you copy/paste the policy wording?
     
  6. Avago

    Avago Well-Known Member

    Location:
    Sydney
    Driving:
    UberX
    Partner People, I'll bring the document and get it sorted in the next couple of days.
    actually, I've just noted that you are our Payroll Service, so maybe it'd just be quicker for you to call them (132132) and speak to one of the very helpful NRMA phone assistants. Actually, I really mean that they are great at helping out.
     
  7. UberRon

    UberRon Member

    Location:
    Australia
    Truth be known, I would jump at the chance to get back on the road. What's holding me back? GST and insurance... g00r I know you have the GST covered just need to get the other sorted. Have you any news?
     
  8. g00r

    g00r Well-Known Member

    All quiet at this stage
     
  9. Sydney Uber

    Sydney Uber Well-Known Member

    Location:
    Sydney Australia
    Driving:
    UberBLACK
    Just asking, in the NRMA comprehensive insurance PDS (page 23-25), there is a clause that states that NRMA will refuse a claim if the vehicle is used for any unlawful purposes.

    Has that been changed in the PDS? Has UBERX activity been publicly deemed by NRMA as lawful?

    Like I've said many times before, insurance companies will be VERY happy to sign up any Rideshare driver, take his/her monthly premiums. Then one day, if a claim is made and the driver truthfully says (not being truthful is insurance fraud which has custodial penalties for) what they were engaged in doing at the time.

    Then the Insurance company can fall back on the State Government current policy that Rideshare/eHailing/app enabled rides with unaccredited operators in vehicles without the correct public passenger licence IS illegal.

    Even if the UBERX driver wasn't engaged at the time with a passenger, they were in persuit of commercial gain from their vehicle - raising the risk profile of the car. UBERX cars are a bigger target, and insurance companies have their investigators on the lookout for any way that they can pocket the premiums for years THEN refuse a claim.

    UBERX drivers would be VERY profitable driver group for insurance companies
     

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