Does Allstate Offer Rideshare Insurance?
Last Updated on June 16, 2023
Allstate is one of several major insurers in the United States offering rideshare insurance.
Allstate’s Ride for Hire coverage protects you when working for a transportation network company (TNC) – like Uber, Lyft, DoorDash, and other companies.
Keep reading to discover how Allstate’s Ride for Hire rideshare insurance works and whether or not it’s the right choice for you.
Key Takeaways
- Allstate Offers Rideshare Insurance: Allstate provides a special type of rideshare insurance called Ride for Hire coverage. This coverage is designed to protect drivers working for transportation network companies (TNCs) like Uber, Lyft, and DoorDash.
- Coverage for Various Scenarios: Allstate’s rideshare insurance covers drivers who might be uninsured or underinsured by their personal insurance policy or the ride-sharing company’s insurance. This includes times when the driver is waiting for a passenger assignment or driving to pick up or drop off a passenger.
- Affordable Option: Allstate’s Ride for Hire coverage is one of the most affordable rideshare insurance options on the market. It is generally more affordable than buying a separate commercial insurance policy or the rideshare coverage plans other insurance companies offer. Some drivers report receiving quotes as low as $14 per month.
- Good Reviews: Allstate is the fourth largest car insurance company in the United States and generally receives positive reviews. It scores above average in certain regions based on pricing, claims satisfaction, and overall service. Allstate’s Ride for Hire coverage has also received positive feedback from rideshare users for its affordability and ease of adding to a policy.
Yes, Allstate Offers Rideshare Insurance
Allstate offers a special type of rideshare insurance called Ride for Hire coverage.
For as little as a few pennies a day, you can add Ride for Hire coverage to your existing Allstate policy, allowing you to stay protected when driving for a rideshare company, delivery service, or similar firm.
According to Allstate, the company’s Ride for Hire coverage is one of the most affordable TNC auto coverage options on the market. In comparison, some other major insurers require you to buy a commercial insurance policy or standalone policy to stay covered.
Instead of paying $100 per month or more for a commercial policy from a competing provider, you can pay as little as $14 per month for Allstate’s Ride for Hire coverage.
What Does Allstate’s Rideshare Insurance Cover?
Allstate covers you in situations where your rideshare company’s insurance may leave you uninsured and underinsured.
Most rideshare apps cover you when actively driving to pick up someone or drop them off at their destination, for example. However, they may not cover you between rides.
Unfortunately, your personal insurance policy also does not cover you between rides because you’re driving for commercial purposes. Any claims will be denied.
That’s where Allstate’s Ride for Hire rideshare insurance comes in. It covers you in situations where you may have no insurance coverage or inadequate coverage.
Specifically, Allstate’s rideshare insurance covers you:
When Driving Offline for Personal Use: If you’re driving for personal use and offline on your ridesharing app, then your ordinary personal Allstate policy would apply, regardless of whether you have Ride for Hire coverage or not. You must have an underlying personal auto insurance policy with Allstate to add Ride for Hire coverage.
App On and Waiting for Passenger Assignment: Your personal auto insurance policy excludes coverage in this situation, and your rideshare app may only offer limited insurance coverage. If you have Allstate’s Ride for Hire, coverage, however, then you can enjoy full coverage while waiting for passenger assignment with the app on.
Driving to Pick Up or Drop Off Passenger: If you’re actively driving to pick up a passenger or drop them off, then your rideshare app’s insurance coverage may apply. However, Allstate’s Ride for Hire coverage also provides additional coverage in this situation. It provides deductible gap coverage for damage to your vehicle up to $2,500, for example, giving you protection beyond your rideshare app’s basic coverage.
Overall, Allstate’s Ride for Hire coverage is designed to:
- Fill the gaps between your personal insurance policy and your rideshare app’s insurance coverage.
- Supplement your rideshare app’s insurance coverage to protect you from accidents, damages, and other incidents.
How Much Does Allstate’s Rideshare Insurance Cost?
Allstate’s Ride for Hire rideshare insurance coverage tends to be affordable compared to other options on the market.
It’s generally more affordable than buying a separate commercial insurance policy, for example. It may also be more affordable than the rideshare coverage plans offered by competing insurance companies.
In fact, according to the official website, Allstate’s Ride for Hire coverage is available “for as little as pennies a day.” You could spend just a few pennies a day for extra protection while driving for a rideshare service.
Some drivers report receiving quotes as low as $14 per month for Allstate’s Ride for Hire coverage, making it one of the most affordable rideshare insurance options on the market.
Do I Need Allstate’s Rideshare Insurance?
If you have an Allstate insurance policy and drive for a rideshare company, then you may not have adequate insurance coverage.
Your Allstate personal policy covers personal trips – like your daily commute to work or your weekend trips to the grocery store. It does not cover you when driving for business or commercial purposes.
Your rideshare app, meanwhile, offers basic coverage when driving to a passenger or dropping them off. However, this coverage is often basic and may leave you underinsured.
Plus, neither your personal policy nor the rideshare app covers the gaps between rides. Your personal policy doesn’t apply when waiting for a ride while the app is on, for example, and your rideshare app may only provide limited coverage (or no coverage at all) in this situation. If you get into an accident, then you could be left uninsured or underinsured, forcing you to pay out of pocket for medical bills, property damage, car repair costs, and other expenses.
Allstate’s Ride for Hire coverage also covers the gap between your ordinary deductible and your rideshare service’s deductible. Most rideshare companies have a very high deductible on their basic insurance plans. If you add Allstate’s Ride for Hire coverage to your policy, you get up to $2,500 in deductible gap coverage, which lowers the amount you may be required to pay after an accident.
Is Allstate’s Rideshare Insurance Good?
Allstate is the fourth-largest car insurance company in the United States. Like other large insurance companies, Allstate tends to have average reviews nationwide, with particularly strong ratings in certain subregions.
On the 2022 JD Power rankings, for example, Allstate scored above average in Florida and California, beating out many of its competitors based on pricing, claims satisfaction, and overall service. However, the company scored below average in subregions like New England and the Mid-Atlantic.
Generally, Allstate customers are happy with their coverage and the way the company processes each claim. However, like all large insurers, Allstate has plenty of complaints from customers who have been dissatisfied with their claims.
Nevertheless, Allstate scores strong marks among rideshare users. Users on Reddit, for example, have praised Allstate’s Ride for Hire coverage for being surprisingly affordable. Many users also like how easy it is to add rideshare insurance to their policy.
Final Word
Allstate offers a type of rideshare insurance called Ride for Hire coverage.
Priced as low as $14 per month or a few pennies a day, Allstate’s rideshare insurance covers you in situations where ordinary rideshare coverage – and your ordinary personal policy – do not cover you.
To learn more about Allstate’s insurance coverage and how it works or to browse plans online today, visit the official website.
