My Son, Uber And My Car Insurance.
While attending college in the northeast my son decided to be an Uber driver to pick up some extra money.
His initiative impresses me. The potential liability does not.
My main concern is of course, for his safety. It seems every single day there is another horror story somewhere which has happened to normal people. Normal people appearing to mind their own business.
My second concern is my car insurance concern. Am I covered? While he is participating as an Uber driver does my car insurance cover it?
He seems to think he’s covered.
I am not so sure.
In my wildest imagination, I can not imagine our car insurance policy paying in the event of an accident while he’s using our car in one of these ride sharing programs.
A phone call to my insurance company tends to back me up. Their response was that my current auto insurance policy will NOT cover my son while he is actively using our car with Uber.
In fact, there is an exclusion in our policy against, “livery”. And “livery” is pretty much what our son is doing while working for Uber. Hence, no policy coverage. In other words, my son might as well be using our car as a taxi. And running his own taxi service.
Our agent further stated that even if my son does not have a person in his car but is merely waiting on a passenger, he’s not covered. He’s just a taxi driver waiting for a fare.
My car insurance company only had one option for coverage. They wanted to sell me a commercial auto policy. An expensive commercial auto policy. It’s not a sensible option since my son would have to obtain his commercial driver’s license.
There are a few insurance companies that seem to be experimenting with car insurance for these Uber drivers. Our state is not a state where this is being tested so that option ws out for us.
We finally did figure out that Uber offers supplementary insurance. It is designed to kick in when my son has his Uber app turned on and looks like is the route he will take.
Uber’s policy starts at the limits of 50/100/25 when the driver is logged in and waiting for a ride request.
It goes up to one million dollars single limit on route to pick up the passenger and during the ride then, terminates completely when the ride is over.
I am now concerned if our current car insurance company will drop our primary coverage simply because my son is using the car for ride sharing.
From a “Dad Standpoint”, I plan on adding the Uber coverage. In addition to our current auto policy. I am also looking at some type of general liability coverage for my son in addition to the auto coverage.