If you’re considering signing up to be a rideshare driver, make sure you have adequate coverage for yourself, your vehicle, and any passengers you may be driving.

Keep reading below for a few tips that all rideshare drivers should know.

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Texas law requires rideshare drivers have a higher level of insurance than regular Texas drivers need. Every transportation network company (TNC) employee usually has an insurance hike of up to 15% – 30%.

That means in order to become a driver for a TNC, drivers must have insurance coverage that goes beyond the minimum amount Texas requires for all drivers.

This depends on the “period” of rideshare driving:

Period 0 – Using the vehicle for personal purposes only, Texas requires drivers to have a 30/60/25 insurance minimum

Period 1 – While using the ridesharing app to pick up clients, the driver must have increased levels of liability coverage. Usually at a 50/100/25 insurance minimum.

Period 2 & 3 – When the driver is on the way to pick up a client (period 2) and when the client is in the vehicle (period 3), the liability limits should be exceptionally high. $1 million for death, bodily injury and property damage per accident.

Depending on the TNC, this coverage can be purchased by the TNC or done personally by the driver. Be sure to research or ask questions about the insurance policy requirements for the TNC you are interested in. It is also a good idea to mention your situation with your personal insurance company, as to further protect you.

Payne Insurance Group

If you’re looking to upgrade your insurance, contact Payne Insurance Group today!

Payne Insurance Group provides insurance for auto, home, commercial, and much more! Payne Insurance Group has partnered with over 13 businesses across the Rio Grande Valley, As a result, we have created a one-stop-shop for all types of insurance!

Get your FREE insurance quote today!