The popularity of apps like GrubHub, Doordash, and Uber Eats has skyrocketed since the beginning of the pandemic. Before you sign up to become a delivery driver with your personal vehicle as a side hustle, make sure that you’re properly covered! Did you know that your personal auto policy will likely not cover you in the event of an accident while making deliveries? That’s because your personal auto policy is intended to cover you during personal use of your vehicle, not for business use.
If you’re already delivering using one of the many popular delivery apps or are considering a side hustle, make sure you speak to your agent to ensure you’re properly covered. The failure to do so could lead to your claim not being paid out in the event of an accident or your policy being cancelled. Ensuring that you have the proper coverage is crucial otherwise you could be held personally responsible to not only any damage to your vehicle but any other vehicles and parties involved including any medical expenses.
Even if you are a delivery driver and don’t use the Grubhub, Doordash or Uber Eats app to accept orders and deliver, there can be a coverage gap between personal and employer auto insurance. Depending on your personal auto insurance and your employer’s policy there may be a gap in coverage between the two policies. For example, you might have coverage through your employer while delivering food to the customer but not when picking up the order from the restaurant. If you were in an accident during one of these gaps, your personal auto policy could deny coverage and then you would be held financially responsible for any property damage or medical bills.
It’s important to understand where your insurance or your employer’s insurance begins and ends. Reach out to us today so we can review your current policy and ensure that you’re properly covered – even during the gaps.
Sources: (https://www.forbes.com/advisor/car-insurance/delivery-drivers/, https://www.caranddriver.com/car-insurance/a36421529/doordash-insurance/)