Types of Insurance

Uber Rideshare Insurance

For a free quote on Rideshare Insurance, please visit https://www.rideshareinsured.com.au/.

Rideshare insurance is not in addition to your normal comprehensive insurance policy, but replaces it completely. It is comprehensive insurance that includes unlimited kilometres while driving both privately and as a rideshare driver.

The advantages of working through a broker such as Shielded is that they will typically get you a premium that is $2 - $300 a year cheaper than if you went direct to an insurance company and, in the unfortunate event of an accident, they will help you as their client with submitting the claim to the insurer.

Compulsory Third Party

In all states of Australia, you must have CTP (Compulsory Third Party) insurance and it comes with your vehicle registration. In some states, you can choose your insurer and in others there's only one. It doesn't make any difference. The policies are standard, at least within a state.

CTP insurance covers the vehicle owner and any person who at any time drives the vehicle, against claims for liability in respect of the death or injury to other people caused by the fault of the owner or driver.

It covers the cost of all reasonable medical treatment for injuries received in the accident.

It does not cover motor vehicle or property damage. For that, you need Comprehensive Motor Vehicle Insurance.

Comprehensive

As the name implies, comprehensive motor vehicle insurance covers (more or less) everything that can be damaged in an accident, including your own vehicle and the other driver's vehicle (or drivers' vehicles in a multi-vehicle accident) along with other property damage.

Uber Comprehensive Insurance

There are many insurance companies competing for your business in this area, and it pays to shop around. Compare what's covered, what can cause a claim to be rejected, how much the excess is and check out the claims experience of existing customers.

Comprehensive insurance is a requirement for Uber drivers. Before Uber will accept you as a driver, they need to sight your current certificate of cover.​

Be aware, though, that many comprehensive insurance policies will specifically not cover you if you have an accident while working as a rideshare driver.

This can have an unfortunate follow-on effect. If you made a claim and it was rejected on the grounds that you were providing a rideshare service at the time, then the next time you apply for insurance, you will have to answer the question as to whether you've previously had a claim rejected with "Yes". It's then quite likely that your application for insurance cover will be rejected,

Uber Partner Insurance

Uber provides its partner drivers with insurance. Unfortunately, they are a little vague on specifics. This is from the Uber website:

... all Uber ridesharing driver-partners in Australia are also protected by at least AUD$20,000,000 contingent coverage for bodily injury to third parties, as well as property damage to road users outside the uberX vehicle. That coverage is provided by CGU Insurance Limited (AFSL 238291). CGU is a division of Insurance Australia Group (IAG) and has a 160 year history.

This means that if, in the unlikely event of an accident, a ridesharing driver-partner’s CTP insurance or third party property insurance is exhausted or does not apply for some reason, passengers, pedestrians, other drivers, and the community at large can rest assured knowing that ridesharing partners remain covered by a robust first-class Australian insurance policy. Note, a claim excess does apply and there is no insurance cover for riders’ personal property.

This doesn't tell us when the insurance applies. Is it in force while the driver app is on, or only while a trip is in progress? If the latter, then I'm not covered while I'm cruising around waiting for a rider request or even while I'm heading to the pickup point. Yet it's possible that my comprehensive insurance also doesn't cover me, because from their point of view, I'm driving for Uber during those times. So it's a really, really important question.

In the first paragraph from the Uber website above, does the phrase "bodily injury to third parties" mean that bodily injury to you, the driver, isn't covered? A lawyer would probably argue that it's exactly what is meant. Also, what defines "property damage to road users outside the uberX vehicle"? Does it mean other drivers or pedestrians using the road at the time? What if I'm backing out of my rider's driveway and damage their letterbox? Or run over their cat? What if it's someone else's driveway that I'm using to make a U-turn? And why "the uberX vehicle"? That implies that if I'm driving UberSelect or UberBlack, or indeed any Uber flavour that isn't uberX, I'm not covered.

In the second paragraph, it mentions that an excess applies but doesn't tell us how much or whether it depends on anything.

In my opinion, it's all far too vague. I asked Uber for clarification, but their response, while commendably quick, didn't really clarify anything. It was All driver-partners on the Uber platform have their own CTP insurance and Comprehensive/Third Party Property insurance policies. Once these have been exhausted, you will still be covered by at least AUD$20,000,000 contingent coverage for bodily injury to third parties, as well as property damage to road users outside the vehicle, which of course is just a paraphrase of what's on their website. They also included a link to that page.

Third Party Rideshare Insurance

Uber Rideshare Insurance

For a free quote on Rideshare Insurance, please visit https://www.rideshareinsured.com.au/.

Rideshare insurance is not in addition to your normal comprehensive insurance policy, but replaces it completely. It is comprehensive insurance that includes unlimited kilometres while driving both privately and as a rideshare driver.

The advantages of working through a broker such as Shielded is that they will typically get you a premium that is $2 - $300 a year cheaper than if you went direct to an insurance company and, in the unfortunate event of an accident, they will help you as their client with submitting the claim to the insurer.