Best Rideshare Insurance Companies for 2023

Updated December 2, 2022

Why you can trust Insurify: As an independent agent and insurance comparison website, Insurify makes money through commissions from insurance companies. However, our expert insurance writers and editors operate independently of our insurance partners. Learn more.

Driving for a rideshare service like Uber or Lyft can be incredibly lucrative. But rideshare drivers have unique insurance needs. Your personal car insurance policy doesn’t provide adequate protection throughout every stage of the process, from accepting a ride and transporting a passenger, to dropping them off at their destination.

If you’re a current rideshare driver, or are thinking about driving for Uber or Lyft, it’s important to understand rideshare insurance and how it works. In this guide, we’ll highlight some of the best rideshare insurance companies, explain how to compare car insurance policies and answer some frequently asked questions about rideshare coverage.

Quick Facts

  • Rideshare insurance costs anywhere from $148-$422 per month.

  • The top three companies we found for rideshare insurance are USAA, Mercury, and Allstate.

  • Uber and Lyft drivers must inform their insurer of their rideshare driving – if they don’t, they risk losing their insurance policy.

Does personal car insurance cover rideshare drivers?

Your personal car insurance policy doesn’t provide coverage during every phase of a rideshare trip. You can only rely on your personal auto insurance before you accept a trip and after you drop off a passenger. So, if you get into an accident after accepting a trip or while the passenger is in your car, your personal car insurance policy is essentially inactive.

Important Information:

Your personal car insurance policy isn’t designed to cover business-use vehicles. Commercial drivers, like taxi and limousine drivers, must have a special livery license and carry commercial auto insurance. Rideshare drivers, on the other hand, don’t have to follow these rules. But you should still consider getting additional coverage, even if it’s not required.

What is rideshare insurance?

Rideshare insurance is a special type of car insurance that protects rideshare drivers. Depending on the policy, it may cover your liability and/or your vehicle damage in the event of an accident. If you drive for a transportation network company (TNC), your car insurance company may require you to purchase rideshare coverage.

Here are some of the most common ways that rideshare drivers can get insurance:

  • TNC rideshare insurance: TNCs have to offer insurance, which covers you while you’re logged into the app. This policy provides coverage between the time you accept a ride and drop off the passenger. However, most TNC insurance policies provide liability coverage only, meaning it won’t pay for your vehicle’s damages if you get into an accident.

  • Rideshare endorsement: A rideshare endorsement is an add-on to your personal car insurance policy. It provides coverage for the phases of a trip when your personal auto insurance policy is not in effect. 

  • Private rideshare insurance: A few insurers offer standalone rideshare insurance policies that cover you during every phase of a trip. It usually provides the most comprehensive protection. However, keep in mind that you still need to have a regular car insurance policy for the times you aren’t driving for a TNC.

Compare Car Insurance Quotes Instantly

Secure. Free. Easy-to-use.

How much does rideshare insurance cost?

The cost of rideshare insurance depends on a few factors, like your age, driving record, location and insurance company. However, you can expect it to cost anywhere from $148-$422 per month.

Should you buy rideshare coverage?

If you drive for a rideshare company, it’s a good idea to purchase rideshare car insurance. Even the most robust personal car insurance policies will not adequately protect you during every phase of an Uber or Lyft trip, which can put you at risk. 

Fortunately, most TNCs including Uber and Lyft provide insurance coverage to drivers. However, there are gaps in that coverage, which is where having rideshare insurance or a rideshare endorsement can be valuable.

Here are the five phases of a typical ridesharing trip and what type of insurance applies:

  1. Offline: You are not logged into the rideshare app. In this phase, only your personal car insurance policy is protecting you.

  2. Available: The “available” phase is when the app is turned on and you’re waiting to accept a ride request. During this phase, your TNC insurance provides liability coverage only. 

  3. En route: After accepting a ride, TNC insurance stays in effect as you drive to pick up the passenger. If you have supplemental rideshare coverage, you might also get liability insurance and contingent collision and comprehensive insurance during this time.

  4. On trip: You pick up the passenger and start driving them to their destination. During this phase, the TNC insurance becomes the primary policy and provides the most coverage (liability insurance plus physical damage coverage).

  5. End trip: As soon as you drop off the passenger, your TNC insurance is no longer in effect. If you stop driving and log out of the app, your personal car insurance policy takes over.

Best rideshare car insurance companies

Dozens of insurance companies sell rideshare insurance, but not all providers are created equal. Before you purchase a rideshare insurance policy, it’s important to do your own research to find a policy that meets your personal needs.

In general, the best rideshare insurance companies offer high coverage limits and flexible deductibles. You should also look for an insurance company that has excellent customer service, a mobile app, online claim reporting and affordable rates.

Rideshare insurance premiums can vary based on a number of factors, including the type of coverage you get. Keep in mind that a standalone rideshare insurance policy will be more expensive than a rideshare endorsement. Getting a few quotes will help you find the best rate.


  • Insurify Composite Score: 96 out of 100

  • Coverage Type: Rideshare endorsement

  • Coverage Description: USAA sells rideshare gap insurance to current auto insurance customers, which is structured as an endorsement. This policy is designed to cover you during the gaps where your personal car insurance or TNC insurance policy do not apply, or when coverage is limited. 

  • Estimated Cost: $211.80 per month

USAA sells rideshare gap coverage in every state except Hawaii, North Carolina, Michigan, Montana, New Mexico, New York, South Carolina and Virginia. In addition, you must carry a minimum amount of liability coverage on your personal car insurance policy before you can add this endorsement. If you aren’t already a USAA car insurance customer, note that you must be affiliated with the military to qualify.

2. Mercury

  • Insurify Composite Score: 81 out of 100

  • Coverage Type: Rideshare endorsement

  • Coverage Description: Current Mercury car insurance customers can add a rideshare endorsement to their personal auto insurance policy. Mercury’s full coverage rideshare add-on protects drivers and their vehicles during the offline and phase one periods (the time between turning on the app and accepting a ride).

  • Estimated Cost: $291 per month

Unlike some other insurance companies, Mercury does not require drivers to carry a minimum amount of coverage before they are eligible to add the rideshare endorsement to their policy. However, you can only add this endorsement to your existing Mercury policy if you live in Arizona, California, Florida, Georgia, Illinois, Nevada, Oklahoma, Texas or Virginia.

Learn More: Minimum Car Insurance Requirements by State

3. Allstate

  • Insurify Composite Score: 85 out of 100

  • Coverage Type: Rideshare endorsement

  • Coverage Description: Allstate auto insurance customers can add the Allstate Ride for Hire endorsement to their policy to get coverage for ridesharing driving. This endorsement provides coverage when the app is on and you’re waiting to accept a ride, when you’re en route to pick up a passenger and during trips. You also get up to $2,500 in deductible gap coverage for your vehicle in the event of an accident during the trip phase.

  • Estimated Cost: $337.13

The Allstate Ride for Hire endorsement is not available in all states, so you should check with an agent to see if this endorsement is sold in your area.

4. American Family

  • Insurify Composite Score: 89 out of 100

  • Coverage Type: Rideshare endorsement

  • Coverage Description: If you drive for Uber or Lyft and have personal car insurance through American Family, you have the option to add a rideshare endorsement to your policy. This endorsement fills the gaps in your TNC insurance during phase one only, when your app is on and you’re waiting to accept a ride. It provides all the same coverages as your personal auto insurance, including liability, collision, comprehensive, medical payments, personal injury protection (PIP) and uninsured/underinsured motorist coverage.

  • Estimated Cost: $268.11 per month

American Family does not offer its rideshare endorsement in all states. To find out if you can add this endorsement to your existing car insurance policy, we recommend contacting your American Family agent. If you want a more accurate rate quote based on your location, American Family also has a rate calculator on its website.

5. State Farm

  • Insurify Composite Score: 88 out of 100

  • Coverage Type: Rideshare endorsement

  • Coverage Description: State Farm offers a rideshare endorsement, called Transportation Network Company Driver Coverage, for Uber or Lyft drivers who have a current State Farm car insurance policy. This endorsement provides matching coverage, meaning whatever coverage limits you have on your personal auto policy will be extended to the time you spend driving for a TNC. Specifically, it provides liability, physical damage and medical payments coverage while the app is on and continues providing physical damage and medical payments coverage en route and during trips.

  • Estimated Cost: $200.34 

On its website, State Farm advertises “competitively priced” rideshare coverage. Compared to the other rideshare insurance companies we reviewed, State Farm has the lowest average premiums. 

Check Out: Car Insurance Calculator: Estimate Your Coverage Costs

Insurify Composite Score (ICS)

To calculate the Insurify Composite Score, a proprietary rating, Insurify data scientists and insurance experts weigh multiple factors that reflect the quality, reliability, and health of an insurance company.

Inputs to the score include J.D. Power ratings, Consumer Reports customer satisfaction surveys and customer complaints, mobile app reviews, user-generated company reviews, and financial strength ratings from A.M. Best, Standard & Poor’s, Moody’s, and Fitch.

Rideshare insurance FAQs

  • How does rideshare insurance work?

    You typically get insurance when you sign up to drive for Uber or Lyft, but it only covers you during certain phases of the trip. To fill the gaps, it’s a good idea to get separate rideshare auto insurance, through a standalone policy or an endorsement that you add to your personal car insurance policy. 

    Ultimately, having multiple types of rideshare car insurance will offer the best protection. Without adequate rideshare coverage, you are at risk during specific portions of the trip. If you were to get into an accident during a phase when you aren't covered, you would have to pay out-of-pocket.

  • What companies offer rideshare insurance?

    Many insurance companies offer rideshare insurance. The most common type of rideshare coverage is an endorsement that you add to your existing auto insurance policy. However, you can also find some providers that offer standalone rideshare policies. Here are some insurance companies that sell rideshare coverage:

    • USAA

    • Mercury 

    • Progressive

    • Allstate

    • State Farm

    • Liberty Mutual

    • American Family

    • ERIE 

    • Farmers

    Every rideshare insurance company is different, so it’s important to compare a few providers using your personal criteria. You should also get several quotes to see which company can offer you the best rate.

  • Do you need to buy rideshare insurance?

    In most cases, you are required to purchase rideshare insurance. If you drive for a TNC and you don’t report it to your insurance company, you could end up getting dropped as a customer.

    Uber and Lyft provide some insurance coverage when you sign up to drive, but it doesn’t cover you during every phase of a trip. Unless you purchase supplemental coverage, like a rideshare endorsement, it can leave you vulnerable and at risk during those windows when your TNC coverage is not in effect.

  • Will driving for Uber affect your car insurance?

    Yes, driving for Uber will impact your car insurance premium. When you add rideshare coverage, your monthly premium goes up. However, the actual rate increase will depend on a variety of factors, like your age, driving record, credit score and the coverage limits you choose. 
    To get cheap rideshare insurance, make sure you’re taking advantage of discounts. In addition, paying your premium in full, raising your deductible, lowering your coverage limits and improving your credit score may also lower your rate. You should always compare car insurance quotes to find the cheapest rideshare insurance premium for your situation.

Compare Car Insurance Quotes Instantly

Secure. Free. Easy-to-use.


Data scientists at Insurify analyzed more than 40 million real-time auto insurance rates from our partner providers across the United States to compile the car insurance quotes, statistics, and data visualizations displayed on this page. The car insurance data includes coverage analysis and details on drivers' vehicles, driving records, and demographic information. Quotes for Allstate, Farmers, GEICO, State Farm, and USAA are estimates based on Quadrant Information Service's database of auto insurance rates. With these insights, Insurify is able to offer drivers insight into how companies price their car insurance premiums.

Elizabeth Rivelli
Elizabeth Rivelli

Elizabeth Rivelli is a freelance writer covering insurance and personal finance. She has extensive knowledge of various insurance lines, including property and casualty, health, and life insurance. Her byline has been featured in dozens of publications, including Investopedia, Forbes, Bankrate, NextAdvisor, and