Insurance Requirements For DoorDash, GrubHub And Uber Eats Policy Information
Insurance Requirements For DoorDash, GrubHub And Uber Eats. Whether you're looking for a full-time gig or you just need some extra cash to pay for an emergency or to sock away for a rainy day, you might be thinking about becoming a delivery driver.
Companies like Uber Eats, GrubHub, and DoorDash offer great opportunities for food delivery drivers. They're available in pretty much every city, you can set your own schedule, and you can even decide which gigs you want to accept and which ones you don't. In fact, delivery driving for these companies has become one of the hottest gigs.
While it's a pretty simple and straightforward, just like any other job, you do need to make sure that you're properly prepared to become a driver for GrubHub, Uber Eats and DoorDash. Besides learning what the protocol is and getting your gear set up, there's something else that you're going to want to do to ensure that you're ready for your new delivery driver gig: make sure that you have adequate insurance.
Unfortunately, many of the drivers for these companies just assume that their regular personal auto insurance will cover them, but that isn't necessarily the case. The last thing you want to do is get into an accident while you're on the clock and find out that your auto insurance policy doesn't cover the damage.
If you're thinking about becoming a delivery driver, you can learn about insurance requirements for DoorDash, GrubHub and Uber Eats below.
What are the insurance requirements for DoorDash, GrubHub and Uber Eats? Can you use your personal insurance? Find out what type of insurance you need to be a food delivery driver.
Below are some answers to commonly asked commercial insurance for DoorDash, GrubHub And Uber Eats drivers questions:
- How Much Does Insurance For DoorDash, GrubHub And Uber Eats Cost?
- What Are The Insurance Requirements For DoorDash?
- What Are The Insurance Requirements For GrubHub?
- What Are The Insurance Requirements For Uber Eats?
- Does Your Personal Auto insurance Cover Driving For Uber Eats, GrubHub, & DoorDash?
- How Can You Make Sure You're Properly Insured While Driving For DoorDash, GrubHub And Uber Eats?
How Much Does Insurance For DoorDash, GrubHub And Uber Eats Cost?
The average price of a standard business auto insurance policy for DoorDash, GrubHub and Uber Eats delivery drivers ranges from $57 to $199 per month based on location, driving history, type of vehicle, coverages selected and more.
What Are The Insurance Requirements For DoorDash?
According to DoorDash's website: "You can use any car to deliver. Just have a valid driver's license, insurance, and a clean driving record. While doing business as an independent contractor, you are required to maintain your own insurance, in the amounts and of types required by law which includes, but is not limited to, an auto insurance policy. If you fail to maintain your own insurance, DoorDash's coverage may not apply.
If you fail to maintain your own insurance, DoorDash's coverage may not apply. Damages sustained to your vehicle in an auto accident are your responsibility and should be addressed by your auto insurance carrier directly. DoorDash does provide excess auto insurance for Dashers, but this policy applies only to damages you cause to other parties (i.e. third party property damage and/or bodily injury) and only to accidents while on an active delivery (when you are in possession of goods to be delivered). This excess insurance applies only after you go through your own auto insurance policy first.
DoorDash has a commercial auto insurance policy that covers up to $1,000,000 in bodily injury and/or property damage to third parties arising out of accidents while on an active delivery."
What Are The Insurance Requirements For GrubHub?
According to GrubHub's website, drivers must:
- be at least 19 years old
- have at least with 2 plus years of driving experience
- have a valid driver's license
- have auto insurance
Strangely enough there is no specific wording on the type and amounts of auto insurance mentioned.
What Are The Insurance Requirements For Uber Eats?
According to Uber Eats website:
The insurance maintained by Uber on behalf of delivery partners operating on the Uber Eats app is outlined below:
- $1 million of commercial auto liability insurance per incident. Uber maintains a commercial auto insurance policy with $1 million of liability coverage per covered incident. A delivery partner's liability to third parties is insured from the moment a driver accepts the delivery request to the time the delivery is complete. In addition, as long as delivery-partners maintain comprehensive and collision coverage on their personal auto insurance, the insurance that Uber maintains will kick in and provide physical damage coverage for that vehicle up to its actual cash value, regardless of who is at fault. There is a $1,000 deductible payment required before this coverage applies.
- $50,000/$100,000/$25,000 of commercial auto liability insurance between deliveries. During the time that an Eats delivery partner is available but between deliveries, many personal auto insurance policies will provide coverage. However, if the delivery partner does not have applicable coverage, Uber maintains a commercial auto policy that insures the delivery partner's liability for bodily injury up to $50,000 for each individual with a total of $100,000 per accident and up to $25,000 for property damage.
- This insurance coverage applies to those Eats delivery partners who have contracted with Portier, LLC (a wholly owned subsidiary of Uber Technologies, Inc.),that provide deliveries made by motor vehicle, and is applicable in all states except New York.
So the insurance coverage Uber Eats provides is while drivers are on active deliveries, but it appears they need another policy while in between deliveries.
Does Your Personal Auto insurance Cover Driving For Uber Eats, GrubHub, & DoorDash?
Since these companies just state that their delivery drivers need to be insured but they don't state what specific type of insurance their drivers need, a lot of drivers automatically assume that their standard auto policy will cover them. In reality, though, that may not be the case. It depends on what your current auto insurance policy covers and whether or not the company that you are driving for will supplement your personal coverage - if they'll supplement it at all.
In order to determine if you will need to purchase additional coverage, the first thing you need to do is find out what your existing auto insurance covers. Generally, most standard auto insurance policies do not cover claims that are related to the paid delivery of goods - including takeout food. In fact, if you let your carrier know that you are using the vehicle that they cover to deliver food, there's a chance that they'll cancel your policy.
But, even if you don't let them know that you're driving for Uber Eats, DoorDash, or GrubHub, if you get into an accident while you're on the clock and file a claim, there's a real possibility that they will deny your claim and you'll be responsible for the damages.
There are some carriers that do permit their drivers to deliver food, but usually only if they are employed by one particular eatery; not if they're self-employed with a delivery app company, such as GrubHub, Uber Eats, or DoorDash. Drivers who deliver for these companies are considered "public/livery conveyance" workers, and that type of work usually isn't covered by a standard personal auto insurance policy.
How Can You Make Sure You're Properly Insured While Driving For DoorDash, GrubHub And Uber Eats?
How od you know if you meet the insurance requirements for DoorDash, GrubHub and Uber Eats? Contact your persoanl auto insurance carrier to find out the specifics of your coverage. You should also contact the company you're driving for so that you can find out whether or not they offer coverage, and if so, what it entails.
If you aren't fully covered, you may need to invest in a commercial auto insurance policy. Speak to a reputable insurance broker who specializes in commercial auto insurance to ensure that you get the coverage you need so you can be protected when you're making deliveries.
Insurance Requirements For DoorDash, GrubHub And Uber Eats - The Bottom Line
It's important to be sure that delivery drivers have proper coverages. It might be easy to deliver orders without maintaining adequate coverage, but accidents can be expensive. Without proper DoorDash, GrubHub And Uber Eats insurance, even just one accident can have massive financial consequences.
Types Of Small Business Insurance - Requirements & Regulations
Perhaps you have the next great idea for a product or service that you know will appeal to your local area. If you've got a business, you've got risks. Unexpected events and lawsuits can wipe out a business quickly, wasting all the time and money you've invested.
Operating a business is challenging enough without having to worry about suffering a significant financial loss due to unforeseen and unplanned circumstances. Small business insurance can protect your company from some of the more common losses experienced by business owners, such as property damage, business interruption, theft, liability, and employee injury.
Purchasing the appropriate commercial insurance coverage can make the difference between going out of business after a loss or recovering with minimal business interruption and financial impairment to your company's operations.
Insurance is so important to proper business function that both federal governments and state governments require companies to carry certain types. Thus, being properly insured also helps you protect your company by protecting it from government fines and penalties.
Small Business Insurance Information
In the business world, there are many risks faced by company's every day. The best way that business owners can protect themselves from these perils is by carrying the right insurance coverage.
The The National Association of Insurance Commissioners (NAIC) is the U.S. standard-setting and regulatory support organization. Through the NAIC, state insurance regulators establish standards and best practices, conduct peer review, and coordinate their regulatory oversight.
Commercial insurance is particularly important for small business owners, as they stand to lose a lot more. Should a situation arise - a lawsuit, property damage, theft, etc. - small business owners could end up facing serious financial turmoil.
According to the SBA, having the right insurance plan in place can help you avoid major pitfalls. Your business insurance should offer coverage for all of your assets. It should also include liability and casual coverage.
Types Of Small Business Insurance
Choosing the right type of coverage is absolutely vital. You've got plenty of options. Some you'll need. Some you won't. You should know what's available. Once you look over your options you'll need to conduct a thorough risk assessment. As you evaluate each type of insurance, ask yourself:
- What type of business am I running?
- What are common risks associated with this industry?
- Does this type of insurance cover a situation that could feasibly arise during the normal course of doing business?
- Does my state require me to carry this type of insurance?
- Does my lender or do any of my investors require me to carry this type of policy?
A licensed insurance agent or broker in your state can help you determine what kinds of coverages are prudent for your business types. If you find one licensed to sell multiple policies from multiple companies (independent agents) that person can often help you get the best insurance rates, too. Following is some information on some of the most common small business insurance policies:
|Business Insurance Policy Type||What Is Covered?|
|General Liability Insurance||What is covered under commercial general liability insurance? It steps in to pay claims when you lose a lawsuit with an injured customer, employee, or vendor. The injury could be physical, or it could be a financial loss based on advertising practices.|
|Workers Compensation Insurance||What is covered under workers compensation insurance? This type of insurance protects a business and its owner(s) from claims by employees who suffer a work-related injury, illness or disease. Workers comp typically provides the injured employee with benefits to cover medical expenses, a portion of his/her lost wages, rehabilitation costs if applicable, and permanent partial or permanent total disability.|
|Product Liability Insurance||What is covered under product liability insurance? I pays an injured party's settlement or lawsuit claim arising from a defective product. These are usually caused by design defects, manufacturing defects, or a failure to provide adequate warning or instructions as to how to safely use the product.|
|Commercial Property Insurance||What is covered under business property insurance? General liability policies don't cover damages to your business property. That's what commercial property insurance is for. It protects all of the physical parts of your business: your building, your inventory, and your equipment, giving you the funds you need to replace them in the event of a disaster. If you work from home, you might consider a Home Based Business Insurance policy instead.|
|Business Owners Policy (BOP)||What is covered under a business owners policy (BOP)? This is a policy designed for small, low-risk businesses. It simplifies the basic insurance purchase process by combining general liability policies with business income and commercial property insurance.|
|Commercial Auto Insurance||What is covered under business auto insurance? This type of insurance covers automobiles being used for business purposes. This could include a fleet of business-only vehicles or a single company car. In some cases it might cover your car or your employee's car while they're being used for business. These policies have much higher limits, ensuring you can cover your costs if one of these vehicles gets into an accident.|
|Commercial Umbrella Policies||What is covered under commercial umbrella insurance? This type of policy is a sort of "gap" insurance. It covers your liability in the event that a court verdict or settlement exceeds your general liability policy limits.|
|Liquor Liability Insurance||What is covered under liquor liability insurance? It covers bodily injury or property damage caused by an intoxicated person who was served liquor by the policy holder.|
|Professional Liability (Errors & Omissions)||What is covered under professional liability insurance? This type of business insurance is also known as malpractice oe E&O. It covers the damages that can arise from major mistakes, especially in high-stakes professions where mistakes can be devastating.|
|Surety Bond||What is covered under surety bonds? Bonding is a contract where one party, the SURETY (who assures the obligee that the principal can perform the task), guarantees the performance of certain obligations of a second party, the PRINCIPAL (the contractor or business who will perform the contractual obligation), to a third party, the OBLIGEE (the project owner who is the recipient of an obligation).|
Who Needs General Liability Insurance? - Virtually every business. A single lawsuit or settlement could bankrupt your business five times over. You might also need this policy to win business. Many companies and government agencies won't do business with your company until you can produce proof that you've obtained one of these policies.
Business Insurance Required by Law
If you have any employees most states will require you to carry worker's compensation and unemployment insurance. Some states require you to insure yourself even if you are the only employee working in the business.
Your insurance agent can help you check applicable state laws so you can bring your business into compliance.
Other Types Of Small Business Insurance
There are dozens of other, more specialized forms of small business insurance capable of covering specific problems and risks. These forms of insurance include:
- Business Interruption Insurance
- Commercial Flood Insurance
- Contractor's Insurance
- Cyber Liability
- Data Breach
- Directors and Officers
- Employment Practices Liability
- Environmental or Pollution Liability
- Management Liability
- Sexual Misconduct Liability
Whether you need any or all of these policies will depend on the results of your risk assessment. For example, you probably don't need an environmental or pollution policy if you're running an IT company out of a leased office, but you would need data breach and cyber liability policies to fully protect your business.
Also learn about small business insurance requirements for general liability, business property, commercial auto & workers compensation including small business commercial insurance costs. Call us (855) 767-7828.
Additional Resources For Commercial Auto Insurance
Learn about small business commercial auto insurance which includes liability and physical damage protection for vehicles that are used for business purposes.
- Amazon Delivery Drivers
- Ambulance Services
- Big Rig Truck
- Bobtail Non-Trucking Liability
- Charter And Tour Bus
- Commercial Auto
- Commercial Auto Liability
- Commercial Van
- DoorDash, GrubHub & Uber Eats Drivers
- Dump Truck
- Food Truck
- Freight Forwarder
- Household Goods Moving
- Motor Truck Cargo
- Non-Owned And Hired Auto Liability
- Owner Operator
- Pizza Delivery
- Tow Truck
- What Does Commercial Auto Physical Damage Insurance Cover?
The person injured in an vehicle accident may be a child, a wage earning single parent, a brain surgeon, or even a homeless person. The costs of the accident may be relatively small or run into the millions of dollars, depending on the victim and his or her injuries. Do you have the assets to handle such costs?
Trucking operations in this chapter are among the most heavily regulated in the country. All are subject to multiple types of regulation including municipal, state and federal. The regulations are necessary because potential for severe property damage and/or bodily injury is extremely high.
All carry cargo that if not handled appropriately could have serious consequences to the cargo owner and/or the public at large. Those that carry people must prove that they keep their equipment in good condition and that employees operate in a safe, sober manner.
The insurance company pays amounts an insured is legally obligated to pay as damages because of bodily injury or property damage and certain types of pollution events covered by this insurance caused by an accident and resulting from ownership, maintenance or use of covered vehicles.
The obligation to pay is triggered only by accidental occurrences involving vehicles covered under the Business Auto Coverage Form. An eligible pollution event is covered only if it is connected to a covered bodily injury or property damage loss.
It is important that you have the proper Limit of Insurance to protect your operations. This limit is the most the insurance company pays for the total of all damages, including any covered pollution cost or expense resulting from any one covered accident, is the Covered Auto liability limit of insurance on the declarations.
This limit applies regardless of the number of insureds, autos covered, vehicles involved in an accident, premium paid, or number of claims made.
Minimum recommended small business insurance coverage: Building, Business Personal Property, Business Income and Extra Expense, Accounts Receivables, Computers, Motor Truck Cargo, Valuable Papers and Records, Employee Dishonesty, Money and Securities, General Liability, Employee Benefits, Umbrella, Motor Carriers Liability and Physical Damage, Hired and Non-owned Auto & Workers Compensation.
Other commercial insurance policies to consider: Earthquake, Flood, Mobile Equipment, Signs, Warehouse Operators' Legal Liability, Cyber Liability, Employment-related Practices, Environmental Impairment, Underground Storage Tank, Stop Gap Liability and International Coverages.