Lyft Insurance Now Covers Drivers From Logon To Logoff

One of the big questions that has surrounded car hiring apps like Lyft, Uber, and others is how insurance coverage works. Drivers in many states must have insurance on their vehicles, but that insurance might not cover the driver in a commercial setting. Lyft announced a new insurance plan this week that takes care of those worries.

Previously Lyft provided the contracted drivers with insurance coverage that was in effect anytime a passenger was in the car. The problem for drivers is that it was unclear what happened in the event of an accident after the driver agreed to a fare, but before they picked up the passenger.

Lyft has a new insurance plan that now covers a contracted driver from the time they agree to the fare until they drop the passenger off. The new plan covers the driver from the time the log on until they log off.

The new insurance covers drivers when they are in match mode and not currently providing a ride. The confusion about insurance came in part after an Uber driver was involved in a fatal accident while off duty raising concerns about who was responsible.

SOURCE: Techcrunch