Rideshare insurance can be a complex topic, but as more carriers launch policies, there are more options and resources available for drivers every day. Today, RSG contributor Melissa Berry takes a look at GEICO’s rideshare insurance policy. For a full listing of rideshare insurance options in your state, head over to our Insurance Marketplace.
GEICO is a major player in the rideshare insurance business, and they offer a unique type of coverage. Called “hybrid insurance”, GEICO offers insurance to part-time and full-time drivers with little restrictions, plus GEICO also covers food delivery (which is rare among auto insurers). This means if you drive for delivery and rideshare (which we recommend), your GEICO policy will have you fully covered.
GEICO offers rideshare insurance policies in a number of states, and in addition to offering rideshare insurance, GEICO also offers many other insurance policies, including homeowner’s and renter’s insurance.
If you already have a GEICO policy, you might find it’s easy and affordable to get a new rideshare policy. We’ll cover how GEICO’s rideshare policy works, how much it may cost you, and how it stacks up to other rideshare insurance providers.
Where does GEICO offer rideshare insurance?
GEICO offers rideshare coverage in all states except for the following:
- New Jersey
- New York
- North Carolina
GEICO offers rideshare coverage in every state not mentioned above. You can find all the choices available in your state by visiting our Rideshare Insurance Marketplace.
*GEICO may offer rideshare insurance in Texas. Contact GEICO directly to see if they are offering a hybrid rideshare insurance policy to confirm. Thanks to reader Jay for the information!
How does GEICO rideshare insurance work?
Like any rideshare insurance policy, the most important part is that you won’t be dropped for driving for Uber or Lyft. GEICO’s rideshare insurance policies keep you covered by allowing you to use your vehicle for these purposes.
Another reason to have rideshare insurance is the infamous period one gap. During period two (when you’re en route to a passenger) and period three (when the passenger is in your car), Uber and Lyft offer coverage, which can act as your primary policy. But during period one (when you’re online and waiting for requests), the TNCs offer precious little coverage: the liability limits are dangerously low, and you won’t have collision insurance. Since regular personal insurers don’t cover period one either (as they consider it commercial activity), this makes period one very risky for those without rideshare insurance.
GEICO solves this issue by offering “hybrid insurance”, which basically means insurance that covers you when you drive rideshare and when you’re driving for personal use. Many personal auto policies exclude “drive for hire” (Uber/Lyft driving). According to GEICO, their hybrid auto policy “provides coverage when the rideshare app is off, when it is on with no passengers in the vehicle, and when it is on with passengers (subject to exclusions and conditions).”
GEICO’s hybrid policy means you are covered for all three periods of Uber/Lyft driving. You are covered when the app is off (personal driving), when the app is on with no passengers (period one) and while the app is on and you have passengers in the car (periods 2 and 3). Your passengers are also covered by your GEICO insurance policy when they are in your car.
In addition, your GEICO hybrid insurance policy also covers you when you are driving delivery.
We recommend reaching out to a GEICO agent in your state to determine what type of coverage you should buy and what type of coverage your state requires you to have.
Related: 5 Reasons To Get Rideshare Insurance
How does GEICO’s rideshare insurance differ from other providers?
Some rideshare insurers offer “gap coverage,” which extends your personal policy to include period one, but stops short of providing coverage during all three periods. In this scenario, you’ll be at the mercy of Uber or Lyft’s insurance providers if you’re in an accident during periods two or three and be on the hook for a $1,000/$2,500 deductible!
With GEICO, liability is covered in all phases. This means your GEICO car policy coverages (such as rental, medical payments for you or comprehensive) actually extend through all three periods. So if you have an accident at any point, you can go through GEICO.
This is really helpful if you depend heavily on rideshare driving as a source of income. When you report an accident to Uber or Lyft, it’s a big hassle to get reactivated and can often take weeks. In addition, there are hefty deductibles – $1,000 for Uber and $2,500 for Lyft, regardless of who’s at fault.
Note: If you do get into an accident while rideshare driving and the other driver is at fault, we recommend you contact a lawyer who specializes in rideshare accident cases as you may be eligible for medical, repairs to your car, lost wages and more. We recommend Bryant Greening of LegalRideshare.
With GEICO, you can avoid all that hassle and just call your GEICO agent to get the claim started, regardless of which period the accident happened in. With GEICO, in order to have damage to your car covered, you will need to purchase comprehensive and collision coverage (known as full coverage).
If you get into an accident, you can call the GEICO claims department at 866-509-9444 to report the claim regardless of whether injuries or property damage occur.
How much does a GEICO policy cost?
It depends on a lot of different factors. Typically, rideshare insurance is a little more expensive than a comparable policy without a ridesharing endorsement. If it’s been awhile since you last shopped for a quote, however, you may find that a rideshare-friendly policy is cheaper than what you’re paying now. Unfortunately, GEICO does not offer any bundling discounts for combining homeowner’s/renter’s insurance with your hybrid rideshare policy.
I ran a sample quote to see how much a GEICO hybrid auto policy would cost in Phoenix, AZ and in Seattle, WA. For a 2013 Prius with the state minimum coverage, GEICO quoted me $350 a month in Phoenix, AZ. For a hypothetical 2013 Prius, with state minimum coverage, in Seattle, WA, GEICO quoted me $210 a month. Clearly, cost will depend on a variety of factors, including where you live and your state’s minimum insurance requirements, among other considerations.
One tricky thing about GEICO rideshare insurance is you have to go through their specific rideshare insurance page, found here. This is GEICO’s dedicated portal for rideshare drivers.
Does GEICO only offer rideshare insurance to part-time drivers?
GEICO’s hybrid auto policy is aimed at part-time drivers, but if you are a full-time driver, you can also get the hybrid auto policy. On a corporate level, the company wants to focus on insuring drivers who only do rideshare driving part-time, since they represent a lower risk. According to GEICO, there are no mileage restrictions technically speaking, but we recommend you reach out to GEICO at 866-509-9444 for more information.
Will rideshare insurance cover a rental car?
According to GEICO, in general, “any vehicle you do not own is not covered for rideshare.” This means rental cars would not be covered by your GEICO hybrid auto policy.
Looking for a car that you can use for rideshare or delivery driving? Check out our vehicle marketplace here.
Where can I get a GEICO insurance quote?
Our usual advice never goes amiss – get quotes from every rideshare insurance provider in your area. It never hurts to know your options. Find out what other options are available in your state through our rideshare insurance marketplace.
Readers: Do you have GEICO rideshare insurance? How do you like it? Share your experience in the comments!
Earn 3x driving kids to schoolTriple your ridesharing pay. Zūm drivers average $32/hour and many make $750+ a week. Work when you want. Get repeat rides and drive only on weekday mornings and afternoons. Apply to drive here.
-Melissa @ RSG
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