The US Auto Insurance Stats Rideshare Drivers Should Care About

Posted by: RideGuru Team Nov 26, 2019
Updated Jan 16, 2020


In the United States, car insurance can be a significant expense. Carsurance can attest that two of the most influential factors in rate calculations are age and gender.

Most, if not all, auto insurers will agree that young motorists have a higher chance of getting involved in an accident. Drivers aged 16 and 17 are nine times more likely to cause or contribute to a car crash than their middle-aged counterparts.

While an insurance premium usually becomes cheaper after every policyholder’s birthday, one has to reach the age of 55 to enjoy an annual rate closest to the national average of $1,470.

Furthermore, men statistically experience more collisions that result in fatalities and/or severe injuries. During most of their youth, male motorists drive more aggressively. However, they normally learn to become calm behind the wheel as they get older.

Contrary to popular belief, women do not pay for auto insurance far less than the opposite sex all of their lives. Insurance companies typically charge female drivers slightly more than males when they enter their 30s.

In general, insurance accounts for the third-highest cost of car ownership in the US. An average American pays about $125 monthly for it. Naturally, rideshare drivers are getting billed more.

Unlike ordinary commuters, rideshare drivers are constantly at risk of being embroiled in a car crash because of their line of work. When the app is on, a personal auto insurance policy will not cover an Uber or Lyft driver.

Although ride-hail platforms provide separate insurance for their users, its full coverage is applicable under certain circumstances only. If you get into an accident while waiting for a ride request or going to pick up a passenger, you are almost certainly exposed to an insurance gap.

Whether you work as a rideshare driver full-time or consider the profession a side hustle, keeping it secret to your personal auto insurer is a huge no-no. Nondisclosure could be grounds for policy cancelation, which might inflate your next car insurance premium.

Getting a rideshare insurance policy is a must to bridge the gap. Rates for such a product can vary by location, vehicle type, and others. For instance, the insurance premiums for ordinary sedans are higher compared to those for green vehicles, and plying your trade in places like Michigan or Louisiana will jack up your annual rate.

The overall cost of auto insurance is one consideration you should not overlook to determine your overhead as a rideshare driver more accurately. Fortunately, using the right search platform allows you to discover insurer carriers you might have never heard of and find the most cost-effective rates in your area.

To learn more interesting facts about auto insurance in America, check out the insightful infographic below!

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