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Uber and Lyft Car Insurance

Discussion in 'Insurance' started by Uber & Lyft Insurance, Feb 9, 2016.

  1. socal_uberx

    socal_uberx Member

    Location:
    San Diego
    Driving:
    UberX
    I just grabbed a full TNC (both LYFT & UBER) policy in CA (after GEICO being alerted to the fact that I'd been scamming for 13 months). premium doubled w/ State Farm from $50 to $100, not too costly considering the flipside of being eff'd b/c I never told GEICO...
     
    ResIpsaUber and SFAgentKyle like this.
  2. call-a-cab

    call-a-cab New Member

    Location:
    Albquerque, NM
    An Uber/Lyft car can only operate maybe 84 hours, max, yet Farmers and Progressive charge an Uber driver the same rate as a Fleet Taxi, $600 - $700 per month. It doesn't take a complex actuarial calculator to see that an Uber car has 1/2 the risk of a Fleet Taxi . . . so, if a $300/month commercial policy was offered, we wouldn't have to worry about gaps and exclusions in any of the states.
    What say you to that?
     
  3. socal_uberx

    socal_uberx Member

    Location:
    San Diego
    Driving:
    UberX
    1/2 the cost, not so much my dude. barrier to entry is zero so any unpredictable variable (from an INS. company POV) enters the statistical group @ any point along the timeline. the actuarial tables aren't filled w/ enough data b/c 99% of us are lying to our INS. provider to save $$$ & flout rules. until there's a state by state legislative mandate on this or insurers ask you to sign an affidavit confirming "you're NOT a rideshare driver", prices will vary wildly since regulation is low A/F.
     
    SFAgentKyle likes this.
  4. call-a-cab

    call-a-cab New Member

    Location:
    Albquerque, NM
    True. Any point along the timeline is an instantaneous assumption of risk, but over time . . . a shorter thread is less risk. That is why a few companies are discounting by mileage.
    The single-driver vehicle will put on half the miles of a 24/7 taxi, statistically and realistically. This is an innovation, and business and government must respond to this new market.
    As far as 'lying,' . . . each driver would have to purchase insurance, so that may take into account one car shared by another driver, but that is pretty easy to find out, the plate and VIN numbers . . .
    Meanwhile, Uber drivers are locked into the Uber app which is a Vertically Integrated Monopoly. They deserve full commercial insurance at half the 24/7 fleet rate.
     
  5. call-a-cab

    call-a-cab New Member

    Location:
    Albquerque, NM
    Uber and the State Insurance Boards have cobbled together an insurance scheme that gives Uber minimum risk, but requires the insurance companies to fill in that small gap Uber created in which the driver losses coverage. The better solution would have been 24/7 coverage for a single-driver. That way, if the driver is tempted to take a personal call with the Uber app turned off, he and the customer have insurance . . . and the State insists on NO GAPS. This scheme belies Uber's permission, in statute, for contract drivers to work for another 'TNC,' but real world circumstances will prove out drivers using their cars, contacts, and trade dress to take cash calls or use their own merchant service without any TNC app turned on. This makes it impossible for a driver to 'ply their trade' unless paying the same price for a 24/7 taxi, $600-$700 per month, when the car is only exposed to risk half that of a taxi.
    True, flip a coin and each time the odds are 50:50, but flip the coin 30 times as a single operator car versus 60 times for a fleet taxi, there is an 'n+x' factor twice as great for the taxi.
    The simplest solution is the best solution . . . a $300/month 'non-fleet' policy only good for the driver who owns the car. Uber may not like the driver making money elsewhere, but at the same time they save on liability through their James River policy.
     
    Jamie Coalsten likes this.

  6. call-a-cab

    call-a-cab New Member

    Location:
    Albquerque, NM
    There is no subrogation if the claim is denied, i.e., not covered within the Uber/Lyft insurance plans. Your claim is denied, denied, denied, and your coverage cancelled. According to your anecdotal account, Geico cancelled your coverage . . . and I think denied your claim? It is now standard operation procedure for insurers to ask if you are using your car for Uber or 'ridesharing' before they approve your claim. The fact that your wife mentioned your Uber work within earshot of the adjuster . . .
    If you own two cars and one is used for 'ridesharing' with Uber 'trade dress,' the insurance companies should offer a $300/month commercial policy for whichever car is registered under the Uber app. Uber should then credit you their 'loading/safety' fee because you have your own commercial insurance.
    However, the way the 'TNC' laws are written, you cannot use your car commercially unless a rideshare app is turned on . . . convenient for Uber and Lyft as it creates a Vertically Integrated Monopoly.
     
  7. socal_uberx

    socal_uberx Member

    Location:
    San Diego
    Driving:
    UberX
    trust me dude, I about lost my stuff when she told me that! OMGWTF

    and yea more & more drivers are either being straight up asked by their car insurance provider over the phone (recorded line) or having to submit to a paper questionnaire! the carriers are building a file against you if/when you submit a claim they can reject coverage on the basis of literally... "liar, liar, pants on fire".
     
    SFAgentKyle likes this.
  8. RamzFanz

    RamzFanz Well-Known Member

    Location:
    Saint Louis
    This line is in error. Every state has JR insurance in this period for limited liability.
     
    Last edited: Jun 7, 2016
  9. Bart McCoy

    Bart McCoy Well-Known Member

    Location:
    Waldorf, MD
    Driving:
    UberX
    You be pulling stuff out of thin air
    app on open for commerical service a company for personal insurance can deny
     
  10. RamzFanz

    RamzFanz Well-Known Member

    Location:
    Saint Louis
    That's not english. Try again.

    Every state has JR insurance in this period for limited liability.
     
  11. miamiu

    miamiu Well-Known Member

    Location:
    miami
    James River is not accepted insurance in most states, reason being JR would have to comply with insurance law's for hire.

    Well despite Uber being all for profit their not for hire. So as a result they say , to the dismay of insurance officials that their a app, with overlay coverages. That has yet to be established if it pays out much if anything to either their valued consumers or us unvalued....driver's.

    In Florida Uber...has 0 filed and no ability to even pay out claims. Done within insurance guidelines.

    So people are running with pip insurance with 0 coverage. Cost about $69 bucks monthly. Insurance canceled at any moment.

    Does anyone have any better information than the above. Of Course other than drinking the Uber Kool Aid.
     
    circle1 likes this.
  12. ubersour

    ubersour New Member

    Location:
    DC
    I am amused by the insurance debates. Your personal insurance provider is not constrained by the Periods of TNC coverage, since jurisdictions mandate TNC companies to provide coverage during those periods--that is, States are not mandating insurance providers to provide coverage broken down by Periods. Personal insurance companies don't have to recognize whether or not you have app on or off, thus the reason they can terminate coverage and reject your claim no matter if you were using the app or not, if your personal policies stipulates not for commercial use.
     
    phillipzx3 likes this.
  13. miamiu

    miamiu Well-Known Member

    Location:
    miami
    I have two vehicles, a commercially insured livery suv and a honda accord.

    My suv, fully insured costs $770 per month to insure. 1 million coverage + and collision. 24/7

    My Honda costs $39 dollars a month for liability. No collision.

    Since Uber has brilliantly bypassed legitimate insurance, they can offer lower costs of goods, Ie lower prices.

    I on occasion do Uber, mornings during surges in Miami , it's the only money making time, I'm no idiot my costs are the non surge rate.

    Problem here is Uber is putting everything and everyone out of busisnes with their cheating of legitimate laws requiring insurance.

    Personal car $39
    Comercial $770

    My weekly miles driven Comercial prior to Uber was 800 miles to 1200 weekly.
    So figure 1000 miles of risk for $770 driving for hire. High deductible of $2500 for collision also.

    0 tickets 0 accidents 10 years on the road

    Uber and this song and dance of not being for hire...so you want insurance, the real thing read above. That's what it costs.
     
    Last edited: Jul 10, 2016
    circle1 likes this.
  14. mactube

    mactube Member

    Location:
    Los Angles
    I wonder if there is a gap insurance that covers only Phase 1 , so you can use your insurance thats provided by uber but are still covered when your app is running with out beeing mated yet to a rider .
    Did anybody ever hear about that for California.
    (If there isn't one I now it will be coming because California Law is that you have to have minimum liability for your car so the gray zone of Phase one is kind of unlawful)
     
  15. Michael - Cleveland

    Michael - Cleveland Well-Known Member

    Location:
    Great Lakes
    Driving:
    UberSELECT
    Uber's liability limits are lower during the gap period than during the period when a pax is in the car on a ride ($500,000 vs. $1,000,000) - unless state law specifically requires Uber/Lyft to provide the same liability limits during the gap as they do when a rider is in the car (as they do in Ohio). Just as important to know is that if you do not have collision and comp on your personal policy, Uber provides no collision or comp coverage for the driver/car. In that circumstance, wreck your car on the way to a pick-up (or while on a ride) and you are on the hook for 100% of the damage to your car and your medical expenses unless you can go after someone else (like the driver of a car that hit you).
     
    circle1 likes this.
  16. mactube

    mactube Member

    Location:
    Los Angles
    michaelmichael-cleveland do you know about Phase 1 ? is there any separate ( gap) insurance you can purchase to be covered when you are waiting on a ping with the app running ?
     
  17. RamzFanz

    RamzFanz Well-Known Member

    Location:
    Saint Louis
    Yes, I agree, I was pointing out that both your personal insurance and Uber's will leave you high and dry.

    You are always on the hook for your medical. Uber doesn't cover driver injury at any time.
     
    Michael - Cleveland likes this.
  18. SoCalDriver562

    SoCalDriver562 Active Member

    Location:
    Long Beach, CA
    Yeah you just need to have good medical insurance. Most people don't have Med Pay through their car insurance. Get a health plan on your golden.
     
  19. Julzatruegem

    Julzatruegem New Member

    Location:
    Bronx
    What about NYC?
     
  20. tjharris321

    tjharris321 New Member

    Location:
    Anthem
    Hi all. Newbie here. Been driving about 2 years for Uber part-time, but only the last couple months in Phoenix area. I did a little research and found the insurance policies on the Uber website (wouldn't let me post a link yet). Here's a breakdown:

    Period 1
    ----------

    - App TURNED ON, NO RIDER. If you have personal insurance, you will also be covered by Uber insurance (if your personal insurance doesn't cover). Uber insurance includes:

    $1 million of liability coverage per incident. Drivers’ liability to third parties is covered from the moment a driver accepts a trip to its conclusion. This policy is expressly primary to any personal auto coverage (however, it will not take precedence over any commercial auto insurance for the vehicle). We have provided a $1 million liability policy since commencing ridesharing in early 2013.

    $50,000/$100,000/$25,000 of coverage between trips. During the time that a ridesharing partner is available but between trips, most personal auto insurance will provide coverage. However, if the driver does not have applicable coverage, we maintain a policy that covers the driver’s liability for bodily injury up to $50,000/individual/accident with a total of $100,000/accident and up to $25,000 for property damage. This policy meets or exceeds the requirements for 3rd party liability insurance in every state in the U.S.

    Period 2 (en route) and Period 3 (on trip)
    ----------------------------------------------------------

    - App TURNED ON WITH RIDER. Your insurance includes:

    $1 million of liability coverage per incident. Drivers’ liability to third parties is covered from the moment a driver accepts a trip to its conclusion. This policy is expressly primary to any personal auto coverage (however, it will not take precedence over any commercial auto insurance for the vehicle). We have provided a $1 million liability policy since commencing ridesharing in early 2013.

    $1 million of uninsured/underinsured motorist bodily injury coverage per incident.
    In December 2013, we also added uninsured/underinsured motorist coverage. In the event that another motorist causes an accident with a rideshare vehicle and the motorist doesn’t carry adequate insurance, this policy covers bodily injury to all occupants of the rideshare vehicle. This is important to ensure protection in a hit and run.

    Contingent comprehensive and collision insurance.
    If a ridesharing driver holds personal comprehensive and collision insurance this policy covers physical damage to that vehicle that occurs during a trip up to the actual cash value of the vehicle, for any reason, with a $1,000 deductible.

    There is no contingent comprehensive and collision insurance during Period 1.
    So, if you get in an accident and it's your fault - you will have to pay up for damages to your car. You would still have to pay a $1,000 deductible in Periods 2 & 3 though. Either way, it's gonna be a pricy fix.

    When I researched the cost it was another $150/ month. How can we afford this as a part-time driver?
     
    Last edited: Sep 30, 2016
    circle1 likes this.

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