The rise of car-sharing and delivery apps has made it easier than ever to earn extra income using your own vehicle. Whether you’re driving for a rideshare service or delivering food on the weekends, these gigs offer flexibility—but they can also create confusion when it comes to your auto insurance. At Pethel Insurance Group in Kannapolis, NC, we help drivers understand where their coverage begins and ends in these situations.
Personal Auto Insurance vs. Commercial Use
One common misconception is that your personal auto insurance will fully cover you while driving for a car-sharing or delivery service. The reality is that most personal policies don’t cover accidents that occur while you’re using your vehicle for commercial purposes. This means if you’re involved in an accident while making a delivery or transporting a passenger, you could be left paying out of pocket unless you have the appropriate coverage.
Understanding App-Based Coverage
Some apps provide limited insurance coverage while you’re actively using their platform, but there are often gaps—especially during the period when you’re logged in but haven’t yet accepted a ride or delivery. Knowing how these policies work and when they apply is crucial to avoiding unexpected expenses.
Protect Yourself Before You Hit the Road
If you’re using your car for more than just personal errands, it’s time to review your insurance coverage. Depending on how often and for what purpose you’re using your vehicle, you may need a rideshare endorsement or a commercial auto policy.
Are you unsure about the type of coverage you need? Pethel Insurance Group in Kannapolis, NC can help you navigate the details. Contact us today to ensure you’re fully protected every mile of the way.
