You’ll need to start with a commercial car insurance policy or a personal car insurance policy that is rideshare-friendly — that is, it covers you even when you are working. Most don’t.
Uber’s insurance doesn’t cover you at all when its app is closed. You need your own personal auto policy for those times.
When the app is open, Uber’s coverage applies in some circumstances, and your own rideshare-friendly policy in others. There are three “periods” in the rideshare world, according to insurers:
Period 1: This is when you are trolling around town with the Uber app open, waiting to be matched with a rider.Period 1 tends to be the gray area regarding liability.
Period 2: You have been matched with a rider and are en route to pick them up.
Period 3: Rider is in the car. Period 3 ends when the rider exits the car.
When you have an accident (and the odds of an accident grow the more miles you rack up), you’ll need to know which insurance company should pay the bills for that period.
If you report an accident to Uber, your account won’t be reactivated until Uber has cleared your car for return.
The proof of insurance provided by your personal auto policy should be sufficient in case of an accident.