Delivery Jobs with your Personal Auto – Are you covered?

If you’re anything like me, you have probably enjoyed the convenience of delivery services over the past year.
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This increase in demand means that many people can make delivery driving a profitable full or part-time job. If you or someone you know falls into this category, kudos on being opportunistic!  However, most personal auto policies will not cover incidents that happen when a personal auto is used for business activities like deliveries of pizza, groceries, meals, etc?

What and Who?

What you’re driving and who you’re driving for come into play here, since companies differ in whether they provide auto coverage–and to what extent. Here are a few of the more popular delivery companies and what they require in terms of coverage:

• Uber – For both ridesharing and delivery, Uber requires drivers to have at least a 3rd Party Property Damage or Comprehensive auto policy.
• DoorDash & PostMates – Drivers must have an up-to-date personal auto policy.  These companies will provide excess auto coverage if a driver causes damage to other parties while on an active delivery and only once the driver has gone through his or her policy first. PostMates specifically suggests that its drivers secure a small business delivery policy.
• GrubHub – The company requires drivers to have a personal auto policy because the company does not provide any commercial coverage.

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If you’re using your vehicle for delivery purposes, you should review your auto policy carefully.  It is important to read the “fine print” before signing up as a driver for any Transportation Network Company (TNC).  Do they provide insurance in the event you are in an accident?  What about your personal auto policy? Since business activity is often an exclusion on personal auto policies, you may need a commercial policy.  You also want to make sure you have sufficient liability insurance should you have an accident.
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If you are planning to become a delivery driver, or are already on the road,  please give us a call at (610) 376-7300. We can help identify and fill any gaps in coverage.  We’re here to help!