Planning to have Uber or Turo Insurance? Yes, You Should

Why?

A few months ago, the Ontario government approved a regulatory change under the Insurance Act. This allow insurance companies to develop commercial fleet insurance policies for ride-hailing companies.

Rideshare apps gain its popularity in Ontario in the past few years. Uber and Turo are responsible for this. These companies connect anyone who needs a ride with anyone who has a car available.

This arises the need for Uber and Turo Insurance such it is important to find affordable Uber or Turo insurance. Insurance industry covers multiple types of ideal auto insurance. These are commonly:

• Liability Insurance
• Collision Coverage
• Comprehensive Coverage
• Personal Injury Protection
• Rental Car Insurance

It is not a secret that Uber offers a policy that provides $1 million liability coverage from the time a driver picks up a passenger and the time the passenger gets out. It also offers liability coverage up to $100,000 for the period between trips when no passenger is in the car.

How auto insurance covered passengers?

Getting involved in a car accident while having rideshare services is the thing we don’t wish to happen. But it is important that Uber or Turo insurance covered your injuries. This depends largely on who's at fault.

• If it’s the driver of the other car’s fault

State that has no-fault system like Ontario, is required to carry Personal Injury Protection (PIP). This type of insurance will pay for passengers' medical expenses and lost wages, no matter who's at fault, according to the National Association of Insurance Commissioners (NAIC).

• If your driver's fault

In a no-fault state, your driver's PIP coverage would cover you. While in some states, drivers are required to carry minimum limits of liability coverage for bodily injury(BI).  If your driver is responsible for a car accident, BI coverage pays for bodily injury that the driver is liable for.

In most cases BI coverage will have a limit of at least $100,000 per person up to $300,000 per incident.

In some cases, passengers seek medical coverage from their own insurance to cover their expenses. They are filing a PIP claim under their own insurance policy. So, their insurance company can pursue the at-fault party to recover the funds spent. To understand more of these, have an auto insurance company like, Levitt Insurance Brokers Ltd. for better understanding.  

How about if someone drives your car and got into an accident?

When finding Uber or Turo insurance, it is important to ask the coverage of someone who got into an accident while using your own car.  The insurance coverage for Uber and Turo depends on who you allow to use your car. Since this is something that varies from policy to policy.

• If the person is related to you

Usually, the person who you named in the policy is a family member. This means that he/she undergo the same underwriting and qualification process just like the owner. Then the insurance company will cover them if there is an accident.

• If the person is just someone you know

In most states, if the friend is at fault, the car owner's policy will be primary for the injuries and damages caused by the accident.

If the cost of the claim maxes out the limits on your policy, your friend's insurance policy may be tapped as secondary coverage. Your insurance company will typically tap your friend’s insurance company to lessen your costs.

Maybe you still have hanging questions about having auto insurance coverage. In that case you better get an ideal insurance agent that would help you along the process. Also, they could help you review your insurance policy to understand all of it since every policy is different.