Personal Rideshare Coverage and Why You Need It

Driving for a rideshare like Uber or Lyft can be a smart way to supplement your income. It’s so convenient, in fact, that drivers tend to overlook some important basics, like rideshare insurance.

Doesn’t My Insurance Cover My Car?

If you’re driving in California, the state’s financial responsibility laws require you to carry a certain minimum coverage. If you’ve already met these minimums, doesn’t that cover anyone in your car, such as a rideshare passenger?

The answer is no. Most insurance policies specifically do not cover you or your vehicle if you’re using your car for anything other than personal use or to drive around people you know. If you’re using your car for a commercial operation, you won’t be covered. Consequently, your personal insurance rates could skyrocket if you have an accident on the job and your insurance provider finds out.

Doesn’t the Rideshare Company Cover Insurance Costs?

This question is complicated. Uber, for example, does offer commercial liability to their drivers. The first problem is there are some gaps in that coverage which can leave you vulnerable. Worse, rideshare company insurance doesn’t change the fact that you’re still obligated by California law to personally carry enough insurance coverage to meet the minimums.

Your own personal insurance doesn’t cover rideshare, yet you’re still obligated to carry personal insurance any time you’re on the road. Regardless of which insurance the rideshare company might have available; most drivers will need additional coverage.

Why You Need Insurance

It’s the Law

California’s law uses your rideshare app to determine how much liability insurance you are required to carry. Whenever your app is on, the law puts you into one of three categories:

  • Category one covers the time you’re actively waiting for a passenger to book
  • Category two covers the time a passenger has booked, but has not been picked up
  • Category three covers the entire time the passenger is in your car

Each of these categories require a different level of insurance coverage. Whenever your app is off, you don’t need any coverage other than your personal insurance.

Rideshare Insurance Isn’t Enough

Even if it were legal for you to use only the insurance from your rideshare company, it’s simply not enough. There’s no comprehensive coverage for you during category one: the time you spend actively online looking for a passenger. Yet, state law requires you to have insurance during this period. Rideshare insurance fills in this gap and ensures you’re covered every moment that your rideshare app is open.

The Financial Consequences Are Extreme

If you’re involved in an auto accident in California and don’t have the proper insurance, it could easily spell financial and personal ruin. Car accidents cost Americans over $230.5 billion a year. It’s not just damage to vehicles you have to worry about: the biggest costs in an accident can be loss of income, enormous medical bills, or a lifetime of disability for you or someone you injure.

Another important consideration are the penalties for driving without the proper insurance. All the penalties and fees for a first-time offense can easily add up to nearly $500, and your car may be impounded. You won’t be able to get it back until you do get insurance; and if you’ve just had an accident, it will be all the harder to find affordable rideshare insurance.

How Much Will Rideshare Insurance Cost?

The good news is rideshare coverage isn’t terribly expensive. In some cases, your own private insurer may be willing to offer you rideshare coverage for an extra $40 or $50 a month. In other cases, you may need to get a quote from another insurer.

The price you pay will depend on your driving record, credit score, and how much time you spend driving. If you’re buying rideshare insurance in California, separate from your personal insurance, expect to pay between $120 and $250 a month.

Conclusion

You may not have thought much about rideshare insurance, but if you’re using your car for commercial purposes, rideshare coverage is crucial. The extra costs will be well worth it for the peace of mind; and for the protection when the day comes you need it.

Therefore, we strongly recommend you speak to your insurance agent about the benefits of ride share coverage.

Any information contained herein is intended solely for informational purposes and does not constitute legal advice.

4th Of July Safety: The Top 3 Most Common Types of Accidents on Independance Day

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With 4th of July weekend quickly approaching, communities across California are preparing for a long holiday weekend that includes travel, fireworks, bbqs, beaches, and all that our beautiful state has to offer. Celebrating our Independence Day is not only one of the busiest days of the year but it has also been proven to result in more injuries than any other holiday, including New Year’s Eve.  Here are the most common types of accidents and how to avoid them.

DUI Accidents: Statistics gathered over the past 25 years by the National Highway Traffic Safety Administration have determined that an average 51% of all deadly traffic accidents on 4th of July are alcohol related.  Sunny California also adds to the effects of alcohol due to dehydration and drowsiness from the heat.  There is only one tried and true method to avoid a DUI Accident, never get behind the wheel of a car while under the influence.  

Car Accidents: According to the National Safety Council, as many as 409 people will be killed on the road during 4th of July weekend with another 49,500 injured.  Necessary precautions can help ensure a memorable weekend as well as the ability to lower these statistics. Read More

Auto Insurance for Beginners

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Accidents can happen anywhere, so we must always be prepared and have the best coverage. You first need to figure out what amount of coverage you need and want. Do you commute to and from work? Is it a long commute? Do you want full coverage? How much are you willing to pay? What is within your budget? These are all questions you might be asking yourself when picking out an auto insurance coverage. There are different types of coverage. Read More

Where Accidents Happen the Most in Los Angeles

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Los Angeles is known for its amazing weather, beautiful beaches, and insane traffic. We all know that once 5 o’clock hits, you have to avoid the freeway at all costs so you’re left at the mercy of google maps and side streets. We will do anything to avoid being stuck in that 2-hour commute home, but did you know that there are many streets in Los Angeles that are known for their frequent car accidents? Here we have the intersections in Los Angeles with the most car accidents:

 

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In most of these cases, 41% of these drivers are at fault and 31% it is the pedestrians that are at fault. If you are looking for different streets to take home, then we highly suggest you avoid these intersections.

 

For those of you who like to get around by foot, avoid Hollywood & Highland. Not only is it home to the Hollywood Walk of Fame, but it is also known as the place where most pedestrians get run over by cars. Followed by Central & Vernon, these are the streets to avoid if you are planning on walking to your next destination.

 

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Lastly, we all hate hit and runs, right? Why do people make the decision to drive without being accountable for their actions? Whether it is because they are stressed, distracted, or just texting on their phone… hit and runs happen everywhere. Here, we have the intersections in LA with the most reported hit and runs:

 

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Accidents are unavoidable. They can happen anywhere and at any time. But if we can avoid the places where they happen most often, then we can drive with a better piece of mind. If you or anyone you know is ever caught in an accident, whether it was your fault, a hit and run, motorcycle accidents, or any personal injury accident don’t hesitate to contact The Accident Guys. Your safety and justice is our priority; we are here to help you win!

 

-Stay safe from, The Accident Guys

 

Source: http://la.curbed.com/archives/2015/12/los_angeles_most_dangerous_intersections_2015.php

Top 6 Reasons Why Accidents Happen

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It’s easy to get distracted while driving, especially during slow moving traffic hours or if you’re in a rush. Here are the top six reasons why accidents happen.

 

1. Texting While Driving –

You know that feeling when you look over at the car next to you and you realize they are texting? That is a scary feeling that most California drivers experience when they are behind the wheel. As you may know, Southern California is filled with texting-while-driving offenders. If you see a person texting while they are driving (or trying to), avoid driving near them as much as possible.  

 

2. Alcohol or Drug Consumption –

We probably don’t have to tell you that you should not be behind the wheel if you are under the influence.

Substance Abuse + Car =

 

4. Speeding –

Speeding increases your chance of losing control of the wheel. So don’t go over the speed limit!

 

5. Fatigue –
Make sure to get enough shut eye before going behind the wheel. Pull over if you feel like you’re falling asleep and/or be sure to drink your morning coffee.

 

6. Eating While Driving

Many people believe that eating while driving is perfectly normal and food-on the-go is the only way to go. This is not true. Reckless and distracted driving can put you, your family, your friends, and your fellow drivers in harm’s way.

 

Do not allow yourself to be distracted while driving because an accident can happen anytime, anywhere.  If you or a loved one have been in a collision due to reckless driving, The Accident Guys are here to provide you legal guidance. Call for a free consultation at 877-888-GUYS.

-The Accident Guys