Do I Need to Tell My Insurance I Drive for DoorDash?

Do I Need to Tell My Insurance I Drive for DoorDash?

Are you wondering whether you need to tell your insurance company that you drive for DoorDash? Yes, you do, because there is a chance that your auto insurance does not cover delivery vehicles.

Lets look at why you should inform your insurance provider, whether DoorDash offers rider coverage, which company is the best to buy a commercial policy from, and much more.

Do I Need to Tell My Auto Insurance I Drive for DoorDash?

Yes, as there is a chance you might commit insurance fraud otherwise. Your auto insurance policy might only cover personal vehicles. If you file a claim and say you weren’t using your car or bike for business purposes when you were, you would be committing insurance fraud.

You need to either buy a new policy that will cover commercial usage, or ask your insurance provider if they have any add-ons for delivery cars and bikes.

Does DoorDash Provide Auto Insurance?

While DoorDash does not offer any type of auto insurance, they do offer liability coverage. What this means is that if you injure someone or damage a property while driving for them, they will cover the damages.

However, there is a stipulation to the liability coverage. The delivery service only offers it if you already have auto insurance.

Technically, you won’t have auto insurance if your insurer that doesn’t cover claims for business vehicles.

Does DoorDash Check for Insurance?

The answer is no, because whether or not you have car insurance won’t affect your ability to work for them. This does not mean that you should become a DoorDasher without auto insurance, though. You could be putting yourself in risky situations.

Just so you know, delivery services like Uber Eats and PostMates do check for insurance. They also regularly check drivers’ insurance plans to make sure they are not driving with expired coverage.

Who are the Best Insurance Providers for DoorDashers?

In the unfortunate situation that your auto insurance doesn’t cover delivery vehicles, you will have to buy a new plan.

There are hundreds of insurance companies to work with. Naturally, some are better for DoorDashers than others.

Let’s talk about the best.

GEICO

GEICO offers special hybrid policies that covers vehicles for both personal and business use.  Unlike other hybrid policies, their plans don’t have stipulations that prevent you from filing claims while driving for multiple ride sharers.

State Farm

State Farm doesn’t offer any hybrid policies. However, they offer very well-priced add-ons for their personal auto insurance plans, which cover delivery cars and bikes.

The insurance company offers standalone ridesharing policies if you are interested as well.

Progressive

Progressive offers commercial vehicle add-ons for their personal auto insurance plans. These add-ons are competitive in price, but what makes working with Progressive so tempting is the fact that deductible reimbursements are offered.

All-State

All-State has special a ridesharing policy to buy. One of the add-ons you can purchase for it is Gap Protection. This is how it works: if your vehicle is tolled in an accident, the insurance company will calculate the difference between how much your car or bike is worth, and how much your loan is. They will then pay the amount.

Erie

Just like GEICO, Erie offers a hybrid policy. However, buying insurance from Erie is not easy, as it’s only available through agents.

Final Thoughts

DoorDash is one of the most popular delivery services around. Customers can use it to order food and groceries, but also get prescriptions refilled. Working for the delivery app can be a great way to make cash on the side, as you can even get tips.

You’ll need the appropriate auto insurance to be a DoorDasher, though. You will have to check with your insurance provider, as they may not cover cars or bikes used for commercial purposes.

If you have to buy a new policy, some of the best companies to work with are:

  • GEICO
  • State Farm
  • Progressive
  • All-State
  • Erie

In case your current plan does not cover vehicles for business use, enquire whether you can purchase an add-on that will protect you.

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