The popularity of working for a rideshare company has increased dramatically over the past decade. Many people love the independence that comes with working for companies like Lyft or Uber. Not only do you set your own hours, but you also get the freedom to explore different parts of your city. Even though working as a rideshare driver might sound like a dream job, there are a few things to keep in mind.

When working for ridesharing companies, you must carry the proper insurance coverage; otherwise, any claims you file might not be covered. Since many companies offer rideshare insurance, it can be difficult to determine through which you should get coverage. Insurify makes the process easy by allowing you to compare multiple quotes all in one place. 

Score savings on car insurance with Insurify

Compare Quotes

How Rideshare Insurance Works 

Those who jump into the world of rideshare driving often assume that as long as you have a vehicle, you can start offering rides. Unfortunately, this can lead to an abundance of issues for new drivers, especially when it comes to insurance. 

A personal auto insurance policy will keep you protected when you’re not driving for a TNC (transportation network company) like Lyft or Uber, but it won’t help much in other situations. To help determine when rideshare insurance takes effect, insurance companies break down levels of coverage into periods. Each period requires a different level of insurance coverage.

To help drivers maintain coverage, many ridesharing companies will offer some level of insurance when transporting passengers. Often, the company-provided insurance covers the following areas:

  • Liability coverage
  • Collision coverage
  • Coverage for property damage
  • Coverage for damages caused by an uninsured driver
  • Bodily injury coverage

Even though the insurance offered by companies such as Lyft and Uber may seem comprehensive, it often only applies in situations when drivers have a passenger. In other moments, such as when you are waiting to pick up a customer or driving to a pickup zone, you are often not covered by the company or by your personal car insurance.

Rideshare insurance plans help fill these coverage gaps and keep drivers protected at all times while on the road. Below is a breakdown of the different periods you will experience as a rideshare driver and which insurance is likely to cover you if an accident occurs. 

>>>MORE: Best Car Companies for Rideshare Drivers

Period 0 – Driving While Offline

Even though it might be fun to work as a rideshare driver, we all need time to ourselves as well. When you are not actively working and using the rideshare app, the commercial insurance provided by Lyft and Uber will not be active. Instead, when you are using your vehicle for personal use, you will be covered by your general auto insurance policy.

Period 1 – Awaiting a Pickup Request from a Passenger

The first gap in your auto insurance occurs when you are actively on the app but haven’t yet received a request from a passenger. During this period, since you are technically working, your personal auto insurance policy won’t provide coverage. Also, most TNC commercial policies won’t offer protection when a passenger isn’t in your vehicle. 

Since neither your personal auto insurance nor the company-provided insurance will likely cover you if you are involved in an accident while awaiting a pickup request, you will want to have an added layer of protection. This is where rideshare insurance comes in handy. A rideshare policy will help offset the financial burden that would be brought on by an accident occurring during this period. 

Period 2 – Driving to a Passenger Pickup Location

Once you accept a ride request from a passenger and begin your journey to pick them up, your company-provided insurance kicks in. While the coverage does offer some protection, the insurance often has a low maximum coverage amount. Depending on how severe the accident is, you may still be financially responsible and have to pay some damages out of pocket.

One way to ensure you have the proper amount of coverage is by adding another layer of coverage. Rideshare insurance is typically available as an add-on and works well to cover any gaps left by a company-provided plan. 

Period 3 – Actively Transporting a Passenger to a Drop-off Location

Period 3 is similar to period 2 in that your TNC coverage, like Lyft or Uber insurance, will likely offer some coverage and be in effect. Rideshare insurance will also extend coverage during this period for any additional costs not covered by the commercial plan. One important thing to keep in mind is that once you drop off your passenger, you are moved back to period 1 again.

Ohio Laws on Rideshare Insurance Requirements

In Ohio, it is against the law to drive without car insurance. Making the decision to also not have rideshare insurance when working for a ridesharing company can have serious consequences. One of the biggest potential repercussions is that nearly all insurance companies will deny your claim if you file it without the proper coverage.

There are many new drivers who are unaware of the fact that you have to contact your insurance provider before offering rideshare services with Uber or Lyft. Without communicating your new driving activities, it is likely that your insurer won’t cover any claims that you file. It is also important to speak with your insurance agent about the rideshare insurance options they offer. 

While most carriers that provide personal vehicle insurance will also offer rideshare insurance, it might not always be the most affordable. Often, shopping around with multiple providers can yield the best quotes. 

In addition to having coverage, rideshare drivers must also maintain the following minimum coverages while working for a company like Uber or Lyft:

  • $50,000 for bodily injury per person in an accident
  • $100,000 for bodily injury or death of two or more people in an accident
  • $25,000 for property damage that results from an accident

>>> MORE: Cheap Car Insurance in Ohio

Rideshare Insurance Companies in Ohio 

Many Ohio insurance companies offer rideshare coverage as an option to their customers who drive for a TNC. The average premium for Ohio rideshare drivers is much lower than other states, including Iowa, Georgia, Alabama, Kentucky, and Maine. Here are a few of the most affordable carriers you should consider when shopping for a rideshare insurance policy:

Rideshare Insurance Company Average Monthly Premium 
Clearcover $95
National General $95
Travelers $98
Safeco $100
Direct Auto $110
Kemper Specialty $118
Elephant $123
Liberty Mutual $139
Midvale Home & Auto $140
The General $159

Check out Insurify for a full list of personalized rideshare insurance quotes tailored to your driver profile!

>>>MORE: Best Car Insurance Comparison Sites

Ohio Requirements for Rideshare Drivers

Having the proper insurance in place to cover you in the case of an accident is important, but it isn’t the only requirement to drive for Lyft or Uber. In fact, there are several requirements that a driver has to meet before they are allowed to drive for either company. Here is a list of the most common requirements:

  • Possess a valid state driver’s license
  • Pass a background check and screen test that looks into your driving history
  • Own a smartphone that can be used to connect to the driving platform app
  • Have at least one year of experience legally driving
  • Meet any age requirements set by the city you live in

Additionally, most ridesharing companies will have a list of what vehicles you are allowed to use while transporting passengers. Below are several things that your vehicle must have in order to drive:

  • 4 doors
  • A minimum of 5 seats, including the driver’s seat
  • Vehicle must be no more than 15 years old

For drivers who don’t meet the vehicle requirements above, both Uber and Lyft offer options to rent a vehicle for your shifts—a great option for Lyft and Uber drivers just starting out. 

Filing a Claim after an Accident As a Rideshare Driver in Ohio

Very few things are scarier than being in a car accident. Even a small collision can have lasting effects on those involved in the crash. If you do experience an accident while driving for a rideshare company, there are certain steps you will want to follow. The most important step though is to take a moment to regain your composure and make sure you are OK.

After ensuring that no one is severely injured, it is important to follow the necessary process to file a claim. Regardless of whether you drive for Uber or Lyft, you will need to report the incident to the rideshare company and the police. After the report has been made, there should be an additional section in the rideshare app on the next steps you should take.

Often, the biggest hurdle that comes with filing a claim is obtaining the necessary information from all the parties involved in the accident. To help speed up the process, you should collect the following items:

  • Contact information (names and phone numbers) of witnesses to the accident
  • License plate numbers and driver’s license numbers from the other motorist(s)
  • Documentation of insurance information from drivers who were part of the incident

Find Cheap Rideshare Insurance in Minutes

Being a driver for a transportation network company can be a lot of fun; however, it is important to keep your insurance requirements in mind. In addition to your personal auto policy, you will need to add on a rideshare endorsement. Since many car insurance companies offer these types of policies, shopping around can often be the best way to find affordable coverage. 

Insurify helps customers quickly identify the best coverage for their situation by simplifying the process. By answering a couple of short questions, you will be given several insurance options to compare all on one page. The comparison platform allows you to quickly review more than 20 insurance quotes within a matter of minutes. 

Score savings on car insurance with Insurify

Compare Quotes

Frequently Asked Questions: Rideshare Insurance in Ohio

Do you need rideshare insurance in Ohio?

As is the case in most states across the nation, motorists who decide to work as rideshare drivers will need to purchase a rideshare insurance plan. Often, your auto insurance company will offer this additional coverage as an add-on to your current auto insurance policy. If they don’t, you can use the Insurify online platform to quickly compare quotes from multiple providers.

How much does rideshare insurance cost in Ohio?

There are several factors that can affect how much you pay a month for rideshare insurance, such as your driving history, the vehicle you drive, and where you are located. Generally, the average monthly premium for Uber and Lyft drivers in the state of Ohio is $140 per month. This is well below other states, such as California, Florida, New York, Illinois, and Texas.

Which insurance companies in Ohio provide rideshare insurance?

There are many carriers in Ohio that offer rideshare insurance to drivers. Depending on where you are located in the state, you may have the option to choose a regional insurance agency or a legacy brand. If there aren’t any boutique insurance companies nearby, then the best place to start is with a provider like USAA, Progressive, Allstate, GEICO, Farmers, or State Farm.

Updated August 5, 2021

Doug Shaffer is an insurance writer for Insurify. He has had the opportunity to write for several large, national insurance carriers in the past and brings with him over six years of experience working with both business and consumer products. Even though he enjoys writing for most product lines, he loves auto insurance the most. During the moments he manages to break away from the keyboard, he can be found spending time with his family.