What kind of insurance do you need to drive people around?
Asked by: Mrs. Providenci Kshlerin V | Last update: January 10, 2026Score: 4.1/5 (49 votes)
What type of insurance do I need to transport people?
If a person uses the vehicle performing job functions such as transporting goods, people for a fee, conducting a service, or traveling to multiple job sites per day this usually requires a commercial auto policy.
What insurance lets anyone drive your car?
Permissive use
Most car insurance policies will cover drivers you've listed on the policy, or anyone whom you give permission to drive your car, says Nolo.com. This means your insurance will likely cover another driver in the event of an accident, if they had your permission to drive your vehicle.
Am I covered by my insurance to drive someone else's car?
Does my car insurance cover me when driving another vehicle? If you're specifically listed on the car owner's insurance policy, you'll be covered when driving that car – even if it's not your own. If you're not on the owner's policy, applicable coverage will again depend on consent.
What is ride sharing insurance?
The ridesharing company may provide some insurance covering liability for bodily injury and property damage up to the policy's limits. It may also provide contingent coverage for physical damage to your vehicle and uninsured/underinsured motorist bodily injury coverage.
7 mistakes people make when purchasing car insurance
How much do ride share drivers make?
The estimated total pay for a Rideshare Driver is $60,142 per year, with an average salary of $46,862 per year. These numbers represent the median, which is the midpoint of the ranges from our proprietary Total Pay Estimate model and based on salaries collected from our users.
Can you drive Uber if insurance is not in your name?
You might ask, “Can I drive for Uber under someone else's insurance?” In short, the answer is no. Uber insists that all drivers must be named on the car insurance policy for the vehicle they intend to use for ridesharing.
Can my son drive my car if he is not insured?
Most insurers cover someone else driving the policyholder's car with their permission once in a while. But, if you're going to start driving one of your parent's cars regularly, you'll need to be added or named on their auto insurance. You can't legally drive your parents' car without any insurance at all, either.
Can someone drive my car if they are not on my insurance Progressive?
Allowing another licensed driver to borrow your vehicle is known as "permissive use," which means you give someone, who isn't listed on your car insurance policy, permission to operate your vehicle. If they're involved in an accident, your auto insurance may pay for the damages and injuries, up to your coverage limits.
Can a friend borrow my car and be insured?
Car insurance coverage follows the vehicle, not the driver. When you allow a friend, family member, or babysitter to borrow your vehicle, they also borrow your car insurance. Your insurance becomes the primary coverage when lending the car to family members or friends.
Do you need special insurance to drive people around?
When you or your employees drive clients back and forth, commercial vehicle insurance is a required protection. In addition to facing greater risks of vehicle damage, businesses also face higher liability risks.
What happens if someone borrows your car and gets in an accident?
Vehicle Owners Are Liable Under California Law
This law holds a vehicle's owner responsible for collisions caused by the driver of the vehicle – even if the driver is not the owner. Liability is determined by identifying the actual owner of the vehicle.
Can I give permission for someone to drive my car?
Most of the time, as long as you gave a driver permission to borrow your car, it's likely not a problem for them to drive your car, even if they're not on your car insurance policy.
What is the 1 type of auto insurance everyone must carry?
Liability coverage is required in most US states as a legal requirement to drive a car. Liability insurance may help cover damages for injuries and property damage to others for which you become legally responsible resulting from a covered accident.
How much does passenger insurance cost?
Travel insurance typically costs 5 to 10 percent of your total trip cost, though that amount can be influenced by several factors, including: Your age. How much you're spending on your trip. The amount of coverage you're choosing.
How does transportation insurance work?
It protects the cargo owner against any losses or damage to their cargo as it is transported from one place to another. Cargo insurance can cover various shipments, including land, air, and sea transportation.
Can my wife drive my car if she's not on my insurance?
Usually, yes. Your car insurance coverage should be able to extend to anyone else driving your car. Even if someone isn't listed on the policy, they can operate your vehicle. If you explicitly name someone as an excluded driver in your policy, however, none of this applies to them.
Do household members have to be listed on your insurance policy?
In general, everyone that is 14 years and older who resides within your household should be listed on your policy, regardless of whether or not they have a driver's license. Any other regular operators of vehicles, including children away from home or in college (licensed or not), should be listed as well.
What happens if I don't add my teenager to my car insurance?
Failing to add your teenager to your auto insurance can lead to coverage denial, legal penalties and policy cancellation. Lack of driving experience and perceived higher risk contribute to higher car premiums for teen drivers.
Do I have to add a driver to my insurance?
You should add any regular drivers of your car to your insurance policy so that damages from accidents are covered. Also, you can add any drivers that live at your permanent address, and most insurance companies will require it. Some states may allow you to exclude a driver from being covered by the policy.
Does my name have to be on the car insurance to drive it?
Borrowing a car from a friend or family member
In many cases, you will be covered by their insurance, even if you are not named as a regular driver on the policy.
Should you add your kids to your car insurance?
In most cases, you will need to add your teen to your auto policy when they receive their driver's license. If they receive a learner's permit first, this might also be the time to do so. Most states require all licensed drivers to carry insurance. So, once your teen gets an ID, add them to coverage.
Do I need extra insurance to drive for Uber?
If you drive for Uber and are commercially licensed to operate commercial vehicles, such as black cars, for-hire vehicles, limousines, livery vehicles, or taxis, you're required to have your own commercial auto insurance.
Does DoorDash require insurance?
For its drivers, DoorDash requires them to “maintain an up-to-date auto insurance policy. Damages sustained to your vehicle in an auto accident are your responsibility and should be addressed by your auto insurance carrier directly. If you fail to maintain your own insurance, DoorDash's coverage may not apply.”
What year does your car have to be for Uber?
Lyft and Uber Vehicle Requirements
Here in California, basic vehicle requirements for Lyft and Uber are: Uber requires all vehicles to be 15 years old or newer. Lyft does allow 2004 and 2003 vehicles in the Bay Area and some smaller cities. The vehicle must have four doors.