Car accidents can be life-changing for both drivers and passengers. When you’re ridesharing, or driving for a rideshare company, the last thing that is on your mind is insurance. Drivers are just trying to make money and passengers are trying to cut down their transportation costs. Car insurance coverage is important for everyone on the road and all Australian rideshare cars must be registered and insured to be on the road. If you’re driving for a rideshare service you can be covered by the rideshare’s insurance policy but this doesn’t mean that you don’t need your own insurance.

What You Might Need

In order to drive for a rideshare company, you need a working vehicle, Compulsory Third Party (CTP) car insurance, and in some cases a third-party property damage insurance policy. CTP coverage is compulsory for all vehicles on the road and may cover damage done to your vehicle. It is likely that you’ve already got CTP coverage if your vehicle is currently on the road legally. Third-party property damage insurance may cover damage to another person’s property or vehicle. Most companies will let you know before hiring you and putting you on the road as a driver which vehicle coverage they require. If you’re looking into ridesharing, you can typically find insurance requirements on their websites or simply by calling in.

Your Current Policy

Rideshare accidental coverage may not be covered by your current insurance policy. To know if you’re covered, you must review your current policy or contact your current provider. If you’re not covered, you can ask for your policy to be updated. Ridesharing is common and most insurance providers have add-ons or updates that can be included in your policy to ensure that you are covered if you’re injured on the job. Comprehensive coverage is important to have to be sure that your car is covered for the full amount that is listed on your certificate of insurance as well as any damage that is done as the result of an accident.

Rideshare Policies

Most rideshare companies offer insurance coverage that works with a CTP injury coverage or Third Party Property Damage insurance policy. More often than not, these policies require you to have your own CTP coverage at all times during the course of your rideshare career. These policies only cover certain accident scenarios and personal injury claims. You wouldn’t want to be liable for any personal injury or damage claims that you just can not afford. You can receive lump sum payment for common accidental injuries and coverage for when you’re injured in an accident and you can not work. You must also qualify for this type of insurance and determination for these products is solely up to the company. With larger rideshare companies these policies can sometimes be free of charge.

Ridesharing is a really great way to make a little extra cash, but it can also be burdensome if you’ve gotten into an accident. Always check with your current insurance provider to see if your policy includes rideshare coverage before you even begin to work. You may be liable for personal injury claims if you don’t have a reasonable amount of coverage. If your current insurance policy does not allow you to add rideshare or is costly to add rideshare coverage, it may be time to look into a different provider. Don’t just rely on the coverage of your rideshare program, look into comprehensive coverage options with the help of iSelect. The last thing you want is to be responsible for a personal injury claim when you’re just trying to make extra cash to buy Christmas presents.