SAN FRANCISCO, April 1, 2015 /PRNewswire/ -- Rideshare Insurance is a public safety concern and a growing auto insurance niche. Just a few months ago, only one insurance company advertised a product to close the Uber insurance gap. Today, the battle for rideshare insurance is being fought across the country, with about two new entrants joining the fight each month.
"...this been an issue for quite some time now and the unfortunate part about the whole situation is that most of the risk falls squarely on drivers. Companies like Uber and Lyft have clearly prioritized growth over issues like insurance and we are finally starting to see a few companies come up with viable hybrid policies and exceptions that will allow for drivers to be covered at all times."
Pennsylvania Rideshare Insurance – A fight for the East Coast is coming. Sharesurance and Metromile's head of PR Lauren Hartung, Metromile will be adding Pennsylvania this summer as its first east coast market. Launching in Pennsylvania, Metromile will be in direct competition with Progessive Insurance who was the first to launch a pilot program for Lyft drivers in the state. The war for east coast rideshare dominance is on.
Colorado Rideshare Insurance – Colorado owns the privilege of the first state to mandate rideshare insurance minimums for Rideshare drivers from the growing safety concerns. Colorado is the most competitive state with at least three insurance providers, including Farmers Insurance, USAA, and MetLife, are piloting rideshare insurance products.
Chicago Rideshare Insurance – Home of the original rideshare insurance company, Erie. Metromile also announced they would begin offering coverage to Uber drivers via their partnership with the ridesharing giant. Erie offers coverage in both Indiana and Illinois while Metromile only covers Uber drivers in Illinois.
California Rideshare Insurance – Starting on July 1st, all rideshare drivers in California will need to have rideshare insurance. With only about 90 days until law takes effect, rideshare insurance companies are piloting in smaller markets around the country in preparation for the new regulations for Uber drivers and Lyft partners. It's very likely many more insurance companies will be developing products for California's large population of rideshare drivers.
Rideshare Insurance Carriers to Watch
Metromile Rideshare Insurance – The largest in terms of market size, Metromile has an aggressive plan to take on the east coast this summer. Metromile has the inside track as an "approved" insurance partner with Uber. Although due to their unique per mile car insurance, they may face increased scrutiny with some State Insurance departments. Before partnering with Uber, Metromile was limited to operating in only four states. Also, as the youngest and most technologically advanced insurance option, many drivers may not believe they can pay for insurance by the mile or understand how the Uber partnership saves them money on their auto insurance costs. Metromile's new operations in Pennsylvania should cause GEICO and Progressive to take notice that pilot programs are no longer going to cut it when faced with a serious competitor for the east coast.
GEICO Rideshare Insurance – Famous amongst rideshare driver, as evidenced by industry forums, for dropping drivers personal insurance for driving for Uber or Lyft. Since then, the company has shifted direction and announced plans to create a nationwide rideshare insurance product for drivers. They are currently running their pilot program in Virginia and Maryland. GEICO has NOT developed a hybrid product and according to reports. GEICO's rideshare insurance solution is a commercial policy, with rideshare marketing. If the GEICO decided to create a genuine hybrid policy the industry would be facing serious competition.
Farmers Rideshare Insurance – Although Farmers is currently only in Colorado, it is one of the nation's largest insurance companies. We expect the California based company to be a first mover in Colorado and California.
What is Sharesurance?
Sharesurance is insurance for the sharing economy. We want drivers and passengers to be able to Share with Confidence.
Thank you for reading the Rideshare Insurance Report, we will deliver this report monthly. Our mission is to close the insurance gaps facing the ridesharing economy through information and education.
With the rise of Uber, Lyft and others, auto insurance companies have been left playing catch up while waiting on local governments to establish reasonable rideshare insurance regulations. We want to help drivers make sense of all rideshare insurance regulations, and options available to them through reviews and rideshare insurance ratings.
Reporters or others wishing to learn more about rideshare insurance are urged to contact us.
Sharesurance is sponsored by Rideshare Advertising Startup Viewswagen.
SOURCE Rideshare Insurance Report