Did you know that Lyft and Geico are working together to offer you a program that will literally pay you to make rides on Lyft when you are insured with rideshare insurance from Geico? I thought this is too good to be true, but I did in fact sign up to get rideshare insurance with Geico and I am making a little extra money now because of it.
I’m going to break it all down for you in this video and stick around because at the end of the video I’m going to show you exactly how much extra money I’m making drew doing my rides like normal. The only thing that’s different is that I’ve got this Geico rideshare insurance now.
First: A rideshare insurance primer
First we’ll start off with a quick primer about rideshare insurance. When you’re driving your car around waiting for a pin, they call that Period 1. You’re not really covered by Uber or Lyft in that during that period and there’s plenty of time where you’re doing that.
Get advanced tactics and earn more! Maximum Ridesharing Profits has my top tips for earning more money. Click here to enroll.
When you’ve got a ping and you go to pick up the passenger, that’s called Period 2 Uber and Lyft provide pretty good coverage there. When you have a passenger in your car, that’s where you got the most coverage. Uber and Lyft really got your back there.
If you get into an accident during Period 1, your personal insurance is probably going to not pay anything and they’re going to kick you off the policy because you weren’t honest with them. Since you’re driving for Uber and Lyft, you’re considered a commercial driver and a personal policy doesn’t cut it. So one, you’re being dishonest with your insurance company. And two, you’re really gambling with your financial security. That is the nature of rideshare insurance.
Our Top Tips for Drivers:
Need rideshare insurance? Check out our marketplace
Rideshare insurance can cover you in all potential situations
Rideshare insurance covers you during your personal driving, and during Periods 1, 2, and 3. It usually will give you better coverage on top of what you’re already getting from Uber and Lyft. That’s what I’ve learned when I started to talk with these different insurance companies. One thing I want to recommend is that you go to the Lyft website and you will find a lot of really good information about rideshare insurance.
I found the Lyft page on insurance to be very valuable to find out more information about it.
Let’s look at a cost comparison. So I was looking at a policy that would give me a $500 deductible. So if I got into an accident the most I’d have to pay out as $500.
How much extra money is a rideshare-friendly policy?
And I was able to find a policy at $175 from both Geico and State Farm. What’s it going to cost for me to get a rideshare policy.? With State Farm, it was going to be about 20% more, which came out to be around $35 more per month, which is not bad.
I’ve had Geico for personal insurance for quite awhile, and a quote from Geico came out at $140 a month, so it was actually less. And when I started to think about it, it made sense. And as it was explained to me, there are only providing insurance to fill in the gaps.
What Geico’s rideshare policy in California has to offer
Uber and Lyft are providing significant insurance when I’m driving somebody and when I’m going to pick somebody up. So they’re just filling in the gaps. Here’s what Julia, this wonderful represent commercial insurance representative at Geico told me. She said that they just started this program for drivers and California where every time you take a ride, if you have Geico as your rideshare insurance for every ride that I take with Lyft, I’m going to get 25 cents.
If I do 100 rides, that’s like $25 a week, or a hundred dollars a month. That’s a big savings off of a $140-a-month policy. I thought it sounded a little too good to be true, so I contacted Lyft.
I contacted Lyft to ask if the Geico deal is for real, and they said that it actually is true. And I got this email back and they said, yeah, it is actually true. To tell you the truth, I still didn’t believe it because I’ve heard about things like Uber Pro for drivers, which has not come to San Francisco. We get told some things that don’t actually materialize.
Even if the 25 cent bonus didn’t pan out, I’m still happy with $148 a month for my rideshare insurance.
Lyft/Geico delivered: I got my 25 cents per ride bonus
I looked at my pay statement and I am indeed getting 25 cents per ride. Believe it, it’s actually happening!
An extra $22.75. How about that? Now I went back to the Lyft website to get more details, and there are some limits. The most you’re going to get in a year is $1,000 in credits and they break that up to $500 for six months and $500 for the next six months.
I’m going to save an average of $80 a month. That’s cutting my rideshare insurance more than in half! This is a really dynamite program. If you’re in California, it’s going to be starting in California and it’s going to be slowly expanded out to other parts of the country.
Overall, in summary, I got to say, good on you Lyft and Geico. I think it’s fantastic, and I suggest you at least get a quote
This is Jay Cradeur with The Rideshare Guy. Thanks for checking out this video and learning a little bit more about rideshare insurance and this specific plan between Geico and and Lyft. Y’all go out and have a great day. Be safe out there.
Ready to Maximize Your Ridesharing Profits?
Maximum Ridesharing Profits is The Rideshare Guy's online video course. Enroll to learn how rideshare veterans earn more, spend less, and treat rideshare driving like a real business.