Does State Farm Offer Rideshare Insurance?

Last Updated on April 25, 2023

State Farm is one of several major insurance companies in the United States offering rideshare insurance.

If you drive for a rideshare company and have a personal policy with State Farm, you may want to add rideshare coverage to your policy. In most cases, your rideshare company doesn’t provide the coverage you need.

Please keep reading to learn about State Farm and its rideshare insurance coverage.

Yes, State Farm Offers Rideshare Insurance

State Farm offers rideshare insurance coverage in most states.

As a State Farm policyholder, you can add State Farm’s car insurance to your insurance policy, then get complete coverage when waiting for rides and picking up rides.

Uber, Lyft, and other rideshare companies provide basic coverage. However, this coverage leaves you with gaps. Most insurance experts recommend adding rideshare coverage to your policy for protection. Some insurance companies require you to add rideshare insurance.

State Farm aims to offer competitively-priced rideshare insurance coverage to drivers in most states, helping you remain covered at all times when driving for transportation network companies (TNCs), meal delivery companies, and similar services.

Why You May Need State Farm’s Rideshare Insurance

Most rideshare companies only provide basic coverage. Some leave you completely unprotected, while others leave you with massive gaps in coverage.

Here’s why you may want to add State Farm’s rideshare insurance to your policy:

  • Uber, Lyft, and most other rideshare companies only offer basic insurance coverage when waiting for a ride. If you’re online but not actively picking someone up or dropping them off, for example, you may only have basic liability coverage (or no coverage).
  • When you’re online for Uber or Lyft, your ordinary State Farm insurance policy will not cover you. This is a personal policy, and it only covers you when driving for commercial purposes.
  • If you are involved in an accident while waiting for a ride, you may need to pay to repair your vehicle out of pocket. You may have basic liability coverage, but this coverage doesn’t cover medical expenses, car repair costs, and similar costs that car insurance would typically cover.
  • Uber and Lyft provide full coverage car insurance (or similar) when actively driving to pick up a rider or drop off that rider. This coverage lasts from the moment you accept the ride to the moment you drop that person off.
  • To fill in the gap, State Farm and other insurers offer rideshare coverage. Rideshare coverage provides additional insurance protection when online, matched with a rider, and transporting that rider.

What Does State Farm’s Rideshare Insurance Cover?

State Farm’s rideshare insurance covers different things based on how you’re driving and using your rideshare app.

If you add State Farm’s rideshare insurance to your policy, then you get the coverage below:

Offline (Not Using a Rideshare App)

Your personal State Farm insurance policy covers you if you’re offline and not currently using a rideshare app. Your State Farm policy covers you up to your limits for all personal trips. If you’re not driving for commercial purposes and your ridesharing app is offline, your State Farm insurance policy should cover you while driving.

Online and Available

Once you have turned your rideshare app online, your State Farm policy kicks into action. During this period, Uber and Lyft only provide basic liability coverage, which protects other people from damage you cause. However, Uber and Lyft do not provide coverage for your own vehicle or your own medical expenses. State Farm’s rideshare coverage does cover these costs, including:

Matched with a Rider & Transporting the Rider

When matched with a rider and transporting the driver, Uber and Lyft provide you something similar to full coverage car insurance. Their coverage includes liability, collision, and comprehensive coverage, among others. However, State Farm’s rideshare coverage also covers certain damages, including:

  • Damage to your vehicle (via collision coverage and comprehensive coverage)
  • Medical coverage (via personal injury protection or medical payments coverage)

All liability damage, meanwhile, falls under your rideshare company. State Farm’s rideshare coverage does not cover damage you cause to other people when actively driving to pick up or drop off a passenger. Instead, Uber, Lyft, or your rideshare company covers this liability.

Is State Farm Good for Rideshare Insurance?

State Farm is the largest car insurance company in the United States, and thousands of rideshare workers across the country use State Farm for rideshare coverage. They offer the amenities of a large company – like financial backing and easy-to-contact customer service – with an affordable price tag.

Some of the reasons to consider State Farm for your rideshare insurance needs include the following:

  • Affordable pricing
  • Available in most states
  • Customer service, mobile app, and other amenities of a large insurance company
  • Strong financial position
  • Extensive discounts, coverage options, and customization options available

It’s also important to note not all insurance companies offer rideshare insurance. For example, GEICO, one of State Farm’s largest competitors, does not offer rideshare insurance. If you’re shopping for rideshare insurance and want the amenities of a large insurer, then State Farm may be your best option.

How Much Does State Farm Rideshare Insurance Cost?

According to State Farm, you can expect to pay 15% to 20% higher premiums by adding rideshare coverage to your policy.

If you currently pay $100 per month for full coverage car insurance with State Farm, you could pay an extra $15 to $20 per month for rideshare coverage.

Your pricing varies based on driving history, discount availability, deductibles, coverages, state-specific insurance laws, and other factors.

You can request a quote on State Farm’s rideshare coverage via the official State Farm website. Just enter your ZIP code to get started.

Final Word

State Farm offers rideshare insurance to fill in the gaps left by rideshare companies.

If you drive for Uber, Lyft, or another rideshare company, you could be uninsured or underinsured in many situations. Adding State Farm’s rideshare coverage can provide you with the coverage you need.

To learn more about State Farm’s rideshare insurance or to request a quote today, visit the official website.

James Shaffer
James Shaffer James Shaffer is a writer for and a well-seasoned auto insurance industry veteran. He has a deep knowledge of insurance rules and regulations and is passionate about helping drivers save money on auto insurance. He is responsible for researching and writing about anything auto insurance-related. He holds a bachelor's degree from Bentley University and his work has been quoted by NBC News, CNN, and The Washington Post.
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