Does USAA Offer Rideshare Insurance?
Last Updated on November 14, 2023
Many of America’s largest insurance companies offer rideshare insurance. USAA, like many of its competitors, offers rideshare gap coverage in most states.
USAA’s rideshare insurance covers you when driving for Uber, Lyft, and other transportation network companies (TNCs). Without rideshare insurance, you could be uninsured or underinsured in many situations.
Keep reading to find out everything you need to know about USAA’s rideshare insurance and how it works.
- USAA offers rideshare gap coverage to protect drivers when they are online and waiting for a ride request, which is not covered by their personal or rideshare company’s policy.
- USAA’s rideshare insurance helps drivers protect their ride, income, and financial security by covering them for repairs, liability, and claims expenses.
- USAA’s rideshare insurance is available in most states except Hawaii, Michigan, Montana, New Mexico, New York, North Carolina, South Carolina, and Virginia.
- USAA is one of the top-rated car insurance companies in the United States for customer service, pricing, and claims satisfaction.
Yes, USAA Offers Rideshare Insurance
USAA offers rideshare insurance called “rideshare gap coverage.”
Like other rideshare insurance policies, USAA’s rideshare insurance is designed to cover the gap between your personal policy and your rideshare app’s insurance coverage.
If your app is on and you’re waiting for a ride, for example, then you might be uninsured or underinsured. Most personal policies don’t cover you in this situation, and most rideshare policies only cover you when driving to a passenger or dropping them off. USAA’s rideshare coverage is designed to cover this “gap” in coverage.
Why You Need USAA Rideshare Insurance
You may need USAA’s rideshare gap coverage to cover the gap between your personal policy and your rideshare insurance policy.
What is this gap? How does USAA’s rideshare insurance work? Why do you need USAA’s rideshare insurance? Here’s how it works:
Off-Duty & Driving for Personal Use: If you’re offline, not on the app, and driving for personal use, then your ordinary USAA policy covers you. Your personal USAA policy covers you when commuting to work, for example, and driving to get groceries.
Online & Ready to Pick Up: When you’re online and ready to pick up a delivery or a passenger, you’re generally not covered by your personal USAA policy or your rideshare company’s insurance policy. This is where the “gap” appears. If you get into an accident, damage someone’s vehicle, or injure someone during this period, then you may be required to pay for damages out of pocket. That could mean paying for medical bills, car repair costs, and other expenses insurance would normally cover.
Online & Driving to Pick Up or Drop Someone Off: If you’re actively driving to someone or dropping them off, then your rideshare company’s insurance should cover you. As long as you’re actively driving to someone or dropping them off at their destination, your rideshare company’s insurance policy should remain active, giving you coverage throughout the duration of the ride.
As soon as you drop off a passenger, however, the gap appears once again. Your rideshare company’s insurance stops covering you, and your personal insurance policy no longer covers you. To cover this gap, you need to buy USAA’s rideshare gap coverage.
Where Is USAA’s Rideshare Insurance Available?
USAA offers rideshare insurance in all states except Hawaii, Michigan, Montana, New Mexico, New York, North Carolina, South Carolina, and Virginia.
USAA may require you to carry certain liability limits to obtain rideshare coverage. If you only have the lowest amount of liability insurance required in your state, for example, then you may be unable to obtain rideshare insurance until you raise your limits. These specific limits vary from state to state, so contact USAA to verify your eligibility.
Benefits of USAA Rideshare Insurance
According to USAA, the company’s rideshare insurance covers three core benefits, including:
Help Protect Your Ride: USAA rideshare policyholders get guaranteed repairs at 2,900+ USAA-approved locations across the United States. Without rideshare coverage, your ride could be unprotected due to gaps in coverage. That means you may be required to pay out of pocket for repairs.
Help Safeguard Your Income: USAA’s rideshare coverage helps you protect your income. You can adjust your coverage limits and deductibles to fit your needs and budget. Those who drive for a TNC full-time may want extra coverage and low deductibles, for example, while those who drive part-time may want to save money with lower monthly premiums, lower limits, and higher deductibles.
Protect Your Financial Security: Without rideshare coverage, you’re taking a risk every time you drive for Uber, Lyft, or another TNC. A single accident could cost thousands of dollars in car repair costs – or hundreds of thousands of medical bills. Insurance would normally cover these costs, but only if you have appropriate coverage.
Does USAA Offer Good Rideshare Coverage?
USAA is frequently one of the top-rated car insurance companies in the United States. Every year on the JD Power auto insurance rankings, USAA scores significantly higher than its competitors across virtually all categories and subregions.
On the 2022 JD Power auto insurance survey, for example, USAA scored first in all subregions in the United States except one, ranking significantly higher than its peers for customer service, pricing, and claims satisfaction. The only subregion where USAA did not score the highest marks was California, where Wawanesa narrowly edged USAA to take the top spot.
However, because USAA restricts membership to military personnel and their families, it’s ranked differently by JD Power and other industry organizations. Despite scoring top marks across all subregions, JD Power places other companies ahead of USAA because of their open membership practices.
Nuances aside, USAA is known for offering some of the best customer service, claims satisfaction, and pricing competitiveness in the United States auto insurance industry, and most users have a good experience with USAA for personal coverage and rideshare coverage.
USAA offers rideshare coverage to bridge the gap between your personal USAA policy and your rideshare company’s coverage.
By adding USAA’s rideshare gap coverage to your policy, you can ensure you remain covered at all times when driving for a transportation network company (TNC) like Uber or Lyft.
To learn more about USAA’s rideshare coverage or to add rideshare coverage to your personal policy today, contact USAA or visit the official website.