Auto Insurance and Ride-Share Driving: What You Need to Know
In today’s world of flexible work and side hustles, driving for companies like Uber, Lyft, DoorDash, or SkipTheDishes has become a popular way to earn extra income. But before you hit the road, it’s important to make sure your auto insurance gives you the protection you need.
If you’re using your personal vehicle for ride-sharing or food delivery — even part-time — your standard auto policy likely doesn’t provide full coverage. Here’s what you should know.
Your Personal Auto Policy Has Limits
Most personal auto insurance policies in Ontario are designed for private use only — things like commuting to work, running errands, or road trips. Once you start using your vehicle to transport passengers or deliver food for payment, it becomes a commercial activity.
Without the right coverage, you could find yourself uninsured in the event of an accident, meaning you’d be personally responsible for any damages or injuries that occur while working.
Ride-Share Coverage Options Are Available
The good news is that many insurance companies now offer ride-share endorsements or specialized coverage for drivers who use platforms like Uber or Lyft.
For example, some insurers provide coverage that works in partnership with the ride-share company’s own policy, ensuring you’re protected during all stages of your trip:
When the app is off → You’re covered by your personal policy.
When the app is on and you’re waiting for a ride → Ride-share coverage may apply.
When you’ve accepted a passenger or are completing a delivery → Commercial coverage from the company’s policy typically applies.
However, the details can vary between companies — and not all insurers offer ride-share endorsements — so it’s crucial to speak with your insurance broker to confirm how your policy applies.
Food Delivery Driving May Need Additional Coverage
Food delivery services like DoorDash, Uber Eats, and SkipTheDishes may not provide the same level of coverage as ride-share companies. In some cases, you may need a commercial auto policy or a specific delivery endorsement to stay protected.
Without it, you risk having claims denied if an accident occurs while you’re on a delivery — even if it’s just a quick trip across town.
How to Stay Protected
If you’re currently driving or considering signing up for a ride-share or delivery platform, take these steps:
Let your insurance broker know that you’re using your vehicle for this purpose.
Review your existing auto policy and any potential exclusions.
Ask about ride-share or delivery endorsements that can be added to your coverage.
Keep proof of insurance handy at all times, both personal and commercial.
A quick conversation now can prevent major headaches — and financial loss — later.
We’re Here to Help
At W.C. Burgess Insurance Services, we’re committed to helping our clients understand how their coverage applies to their lifestyle — whether you drive for fun, for work, or both.
If you’re a ride-share or delivery driver in the Brockville area, talk to our experienced team today. We’ll make sure you have the right protection in place so you can stay safe — and stay insured — every time you get behind the wheel.
Contact us today at info@burgessinsurance.ca, or give us a call at 613-342-1405. You can also visit our Car Insurance page for more details.
