What you really need to know about Uber insurance

  (photo credit: INGIMAGE)
(photo credit: INGIMAGE)

Uber has radically transformed how individuals in the United Kingdom utilise private hire cabs. The Uber app simplifies taxi booking by linking consumers with interested Uber cab drivers in places such as London, Leeds, and Birmingham.

However, because Uber is not classified as a private hire cab company, anybody pondering driving for Uber must have their own Uber insurance.

Because drivers are considered independent contractors, navigating Uber driver regulations can be difficult. While Uber does not pretend to be a taxi company, anyone transporting fare-paying passengers must first check with their insurance company.

If you are in an accident or your car is damaged while driving for Uber, your usual private insurance coverage will not cover the costs.

What should Uber's private hire insurance policy cover?

Uber insurance coverage differs from personal usage vehicle insurance coverage. Because Uber considers itself a Transport Network Company rather than a taxi company, your policy must specifically cover driving your personal car for hiring or reward. When insuring your vehicle to operate for Uber, you still can select from three levels of coverage. These are some examples:

Third-party coverage only covers damage or expenditures incurred by third-party vehicles.

Third-party, fire, and theft coverage - As stated previously, this insurance protects you for almost any third-party damage, but also costs if your car is damaged in a fire or stolen.

Fully comprehensive Is the most complete insurance package available for Uber drivers.

Because of the hazards associated with driving general public members, Uber drivers must also obtain public liability insurance. Uber drivers are covered by public liability insurance if a customer is injured or their property is damaged while using your Uber vehicle.

For instance, if your Uber passenger is injured while closing the car door or their luggage is broken while in the trunk, public liability insurance will cover you in the event of a claim.

What kind of insurance do Uber drivers require?

A cab driver in a vehicle with the most affordable Uber insurance rates must ensure he has proper Uber Taxi insurance at QuoteRadar.co.uk.

This is separate from black cab insurance, or public hire coverage, which covers cabs that can be summoned from anywhere. Uber drivers are not permitted to pick up passengers on the street; instead, users must use the Uber Mobile application to request a ride. Drivers accept the booking and use their own vehicle.

Uber is not responsible for arranging insurance coverage for drivers. Each Uber driver is responsible for arranging their own insurance and locating the appropriate taxi coverage for their vehicle.

This includes commercial private hire insurance, which covers the use of a car for hire or reward.

Is Uber's driver insurance valid?

Uber does not provide direct private hire insurance to their drivers. Recognizing the necessity for their drivers to be insured, Uber has partnered with a number of insurance companies who are familiar with the needs of driving for Uber.

It is usually worthwhile to browse around and compare prices for private hire insurance from a variety of different insurance companies. When comparing quotes, make sure you compare the same amount of coverage from each provider.

Will I be insured if I drive the Uber car both privately and through the app?

Everyone who drives a vehicle on the street must have insurance. Typical insurance coverage will protect you if you solely use the car for personal purposes. But, many private taxi insurance policies, which Uber drivers must have, will only protect your vehicle when carrying fare-paying customers.

It is critical to double-check the information because mistakes can be expensive. If the private hire coverage does not protect your vehicle for domestic use, you should really be able to include it for a modest fee to your policy.

This article was written in cooperation with Zorley LTD