How Are You Covered as an Uber & Lyft Driver?

Number of people are trying to work as a TNC driver to earn either extra income or work as a permanent job. Many insurance companies have followed the trend and created the TNC endorsement options in auto policies. (Mercury, Allstate and Progressive)

All TNC drivers must have TNC endorsement or your personal auto policy may cancel when accident happens during operation as a TNC driver.

Here are general tips regarding TNC endorsement and how it covers you and your vehicle. Insurance company divide endorsement into these stages, Offline, Period 1, Period2, and Period 3.

All TNC drivers must have TNC endorsement or your personal auto policy may cancel when accident happens during operation as a TNC driver. Here are general tips regarding TNC endorsement and how it covers you and your vehicle. Insurance company divide endorsement into these stages, Offline, Period 1, Period2, and Period 3.

1. Offline (Right before Logging on to App)
   Your personal auto policy covers you.
2. Period 1 (Logged on to App - Accept Trip)
   TNC insurance covers this stage but only liability with low coverages.
   Lyft and Uber offers Liability as low as
   
   • $50,000/person for bodily injury
   • $100,000/accident for bodily injury
   • $25,000/accident for property damage
   With TNC endorsement, driver may use comprehensive, collision, UM and medical payment coverages. (Please contact your agent to get detailed information)

3. Period 2 (Accept trip - Rider enters vehicle), Period 3 (Rider enters - Drop off passenger or goods) TNC policy covers during this periods but with high deductibles. TNC policy covers during this periods but with high deductibles.
   
   • $1,000,000 third-party liability
   • Uninsured/underinsured motorist bodily injury (vary by states)
   • Contingent comprehensive & Collision up to the actual cash value (Uber: $2,500 deductible, Lyft: $1,000 deductible)
   With TNC endorsement, driver may use comprehensive, collision, UM and medical payment coverages PLUS may reduce drivers’ out of pocket expense