# Recommended insurance limits



## Jahzara (Jun 18, 2018)

Does it matter what your insurance limits are for rideshare driving?


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## islanddriver (Apr 6, 2018)

Jahzara said:


> Does it matter what your insurance limits are for rideshare driving?


Your state minimum and up


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## IthurstwhenIP (Jan 12, 2018)

I use the method posted by @Yellowaves to avoid the insurance requirement all together


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## islanddriver (Apr 6, 2018)

IthurstwhenIP said:


> I use the method posted by @Yellowaves to avoid the insurance requirement all together


??????


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## kingcorey321 (May 20, 2018)

Add all of your money and home value up.
This is the amount of insurance i would carry. You home 150k and cash in bank lol a ride share driver having cash !!! lol 50 dollars in you bank
Policy needs to cover 150.050 dollars . no need for more.in my opinion .


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## ANT 7 (Oct 14, 2018)

The more insurance you have, the higher your chances are of getting sued by a really good lawyer, should something unfortunate happen.

Carry the minimum required, lie under oath, cross collateralize your fixed assets (like RE) and keep the rest hidden, or out of the country.


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## SHalester (Aug 25, 2019)

Does that post contain a dangerous level of sarcasm? Asking for a friend.


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## Wildgoose (Feb 11, 2019)

Jahzara said:


> Does it matter what your insurance limits are for rideshare driving?


It matter since you will be always in the street. Many drivers have owned minimum coverage policy so you have considered to cover as much as you could. For example, some one run into you and you or your family member got injured. Hospital bills would be over $100,000. When at fault person's coverage is $15,000 for injury or death. Then the rest of hospital bill of $85.000 will be ON YOU from your own pocket. You will be end up getting bankrupted or in debt.
Minimum of $500 deductible for your car damage is recommended. Before you buy your coverage, research what covers what by google search and you will understand more and can decide how you want your coverage.


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## Another Uber Driver (May 27, 2015)

Do you have anything worth anything that a plaintiff could take? 

If so, go with at least 100/300/100.

Are you essentially judgment-proof?

If so, go with state minimums.


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## Jahzara (Jun 18, 2018)

Wildgoose said:


> It matter since you will be always in the street. Many drivers have owned minimum coverage policy so you have considered to cover as much as you could. For example, some one run into you and you or your family member got injured. Hospital bills would be over $100,000. When at fault person's coverage is $15,000 for injury or death. Then the rest of hospital bill of $85.000 will be ON YOU from your own pocket. You will be end up getting bankrupted or in debt.
> Minimum of $500 deductible for your car damage is recommended. Before you buy your coverage, research what covers what by google search and you will understand more and can decide how you want your coverage.


Yes, but wouldnt Ubers commercial insurance cover the bill for the injured pax, pedestrians, or occupants of another vehicle?


Another Uber Driver said:


> Do you have anything worth anything that a plaintiff could take?
> 
> If so, go with at least 100/300/100.
> 
> ...


What do you mean by judgement proof?


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## Seamus (Jun 21, 2018)

Jahzara said:


> Does it matter what your insurance limits are for rideshare driving?


People always focus on LIABILITY in these discussion. One way your coverage affects U/L RS insurance that people overlook is regarding the damage to YOUR car. U/L (after deductible) only pay for your damage up to your own personal insurance coverage.


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## Wildgoose (Feb 11, 2019)

Jahzara said:


> Yes, but wouldnt Ubers commercial insurance cover the bill for the injured pax, pedestrians, or occupants of another vehicle?


I was talking about coverage for you and your family. Isn't it more important to get covered than others?


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## Another Uber Driver (May 27, 2015)

Jahzara said:


> What do you mean by judgement proof?


It means that if the court renders a judgment against you, the plaintiff never will be able to collect it. Those who are judgment proof are those who have few, if any assets and if any, their aggregate value is either low or their value is not sufficient to justify, economically, the cost of attaching those assets. Further, the judgment proof individual has insufficient income for a plaintiff to attach or income that can not be documented, thus can not be attached.

Consider a hot dog vendor:

He rents his cart. He must buy his hot dogs and buns every day. He is paid in cash. He rents an apartment. He drives a ten year old car. He gets into a collision. The court awards fifty thousand dollars in damages. His insurance is on the hook only for thirty five thousand dollars (twenty five for this injuries, ten for the property damage--those are District of Columbia State Minimums). This leaves an excess of fifteen thousand dollars. The plaintiff goes after the hot dog vendor's assets and income.

The plaintiff can not take his home, the vendor rents it, so it belongs to some one else.
The plaintiff can not take the hot dog cart, the vendor rents it, so it belongs to someone else.
The plaintiff might be able to take the hot dogs and the buns, , once the vendor pays for them and try to sell them himself, but the cost of doing that would far exceed the return.
The vendor is paid in cash, so he can (and likely does) report an income so low that the law will not allow any of it to be attached (many states and localities have laws such as this, the District of Columbia is one such locality). There is no way to document the income from the outside. The cost of looking over the vendor's shoulder would far exceed the return.
His ten year old car, that he and his brother in law patched back together after the collision is worth next to nothing, so the cost of attaching it would far exceed the return.

You can not squeeze the proverbial blood out of a proverbial rock. The defendant has nothing for the plaintiff to take. The courts can assign all kinds of judgments against this hot dog vendor and no plaintiff ever will collect the first nickel. Thus, the hot-dog vendor 
is judgment-proof. Judgments have no effect on him.


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## Wildgoose (Feb 11, 2019)

Another Uber Driver said:


> It means that if the court renders a judgment against you, the plaintiff never will be able to collect it. Those who are judgment proof are those who have few, if any assets and if any, their aggregate value is either low or their value is not sufficient to justify, economically, the cost of attaching those assets. Further, the judgment proof individual has insufficient income for a plaintiff to attach or income that can not be documented, thus can not be attached.
> 
> Consider a hot dog vendor:
> 
> ...


Most of the drivers don't have an idea that plaintiffs can be after their own access. They just simply think their insurance will take care of every thing. They don't know how coverage works. 
Thank you for writing long explanation on this. I hope someone will have a chance to learn.


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## Jahzara (Jun 18, 2018)

Seamus said:


> People always focus on LIABILITY in these discussion. One way your coverage affects U/L RS insurance that people overlook is regarding the damage to YOUR car. U/L (after deductible) only pay for your damage up to your own personal insurance coverage.


Im a little confused.. I was actually talking about just your regular car insurance, not RS insurance. Or was that what you were talking about?
Also, I thought U&Ls commercial insurance doesnt pay for anything for the driver and their property. I thought it just covers the riders, pedestrians, occupants of other vehicles, and other peoples property. I thought any damage to you or your property goes under your own personal insurance.


Wildgoose said:


> I was talking about coverage for you and your family. Isn't it more important to get covered than others?


Its important, yes. But I think insuring to protect others is more important. They can sue me but I cant sue myself.
I also have health insurance to cover what my car insurance doesnt.


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## Wildgoose (Feb 11, 2019)

Jahzara said:


> Im a little confused.. I was actually talking about just your regular car insurance, not RS insurance. Or was that what you were talking about?
> Also, I thought U&Ls commercial insurance doesnt pay for anything for the driver and their property. I thought it just covers the riders, pedestrians, occupants of other vehicles, and other peoples property. I thought any damage to you or your property goes under your own personal insurance.
> 
> Its important, yes. But I think insuring to protect others is more important. They can sue me but I cant sue myself.
> I also have health insurance to cover what my car insurance doesnt.


Uber and Lyft's insurance covers 1 million dollars. That covered riders, your car, other properties damages and bodily injuries of other when you were at fault. May be drivers (you) would be included, I am not sure about that.
That 1 million insurance will also cover all of the above except at fault party's properties damage and bodily injuries after at fault party's insurance is used up. No one would sue you unless you intentionally caused the accident to fxxk up Uber/Lyft's insurance. 
So you have to consider to cover before accepting pings and your personal travelling only. Just make yourself covered enough first and consider to cover other party's injuries and damages. I think $50,000/$100,000 for bodily injuries is good enough if you are a good driver and don't want to get sued (especially when you own a house or huge amount of money in your bank). Or consider better coverage.


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## Seamus (Jun 21, 2018)

Jahzara said:


> Does it matter what your insurance limits are for rideshare driving?


I'm talking about your personal insurance limits and how it interacts with Uber/Lyft insurance.


Jahzara said:


> thought U&Ls commercial insurance doesnt pay for anything for the driver and their property.


Specifically talking about Collision and Comprehensive part Of your insurance. If you are giving a ride to a passenger or on the way to a pick up and get into an accident Uber will provide Collision insurance damage for your car. However there is a $1000 deductible first, and then they will only cover up to the amounts that you carry on your personal insurance policy. Lyft has A $2500 deductible first .


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## Stevie The magic Unicorn (Apr 3, 2018)

the limits are less important than the add ons.

1. you NEED written authorization to use your car for rideshare. Not having it could invalidate your entire insurance policy.
2. you NEED collision/comprehensive coverage, uber/lyft's insurance won't pay out to cover your vehicle if it's not on your personal policy. It needs to be high enough to cover your vehicles value.
3. you NEED state minimums for liability. (Duh?)

Without having some kind of rideshare policy or a rider your insurance policy can turn into a pumpkin whether or not your using a car for ridesharing at the time of an accident or not. They (the insurance companies) literally look for any excuse to reject your claim that they can. Violating the terms of the policy is a big one and an easy low hanging fruit they can nail you for. And by nail, I mean refuse your claim.

Now... once you have a policy that covers the above something magical happens. Once you log in liability switches over to uber/lyft (by law in many places) and or they cover liability up to a certain threshold if they go over your limit or your insurance company ditches the claim (which they will)

Once you accept a ping uber and lyft's insurance takes primary on everything. The limits on it are insanely high and the only thing that matters is that your personal policy has enough limit to cover your car on collision/comprehensive.


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## Frontier Guy (Dec 27, 2015)

At least triple your state minimums require.

Here's why;

In August 2018, I was in an at fault accident, I carry 100/300/100. I'm currently being sued, long story, but the other driver fuxored up, stopped communicating with Allstate, Allstate threatened to close the file, he suddenly lawyered up. He's suing for pain/suffering only (Allstate already took care of his car), although the initial lawsuit filing included his car, it was amended 2 weeks later. He's suing for $60,000 pain/suffering, in Colorado, state minimums are 25/50/15. Based on Colorado's minimums, no way in heck I could cover the difference out of pocket if sued and he won. BTW, this guy and his kid had very minor injuries, but the medical bills are $18K, Pain/Suffering are $15K, Lawyer wants the rest.

BTW, consider this, under Colorado's minimum's, $15,000 coverage for property damage, 90% of the pickups and SUV's on the road, if under 5 yrs old, unless beaten to hell, will easily exceed this value. My pickup is a 2015, with 132,000 miles, the wholesale value is still $12,500, I've had 3 retail sales appraisals at $16,000. Also, don't forget, if the other person uses their vehicle for work, you will also be on the hook for lost income, and that can get expensive fast.

In July some knucklehead sideswiped one of our semi's, 2020 Kenworth T680, $157,000 price tag. Right side lower fairings, diesel particulate filter and bracket assembly, right front tire, right side of hood, right headlight, right front bumper, right front wheel, right front drive tire and right front drive wheel and misc. parts all have to be replaced/repaired/repainted: $40,000 was the estimate, the truck should be done this week, the total is expected to be $44,000 with labor, taxes, etc., not to mention we also have a lost income claim in against his insurance for $50,000.




Stevie The magic Unicorn said:


> the limits are less important than the add ons.
> 
> 1. you NEED written authorization to use your car for rideshare. Not having it could invalidate your entire insurance policy.
> 2. you NEED collision/comprehensive coverage, uber/lyft's insurance won't pay out to cover your vehicle if it's not on your personal policy. It needs to be high enough to cover your vehicles value.
> ...


Actually, the limits are not insanely high. See below, this is directly from the app.. Honestly, I carry more coverage than they do.

[url=https://flic.kr/p/2jQdr3m]




Another Uber Driver said:


> It means that if the court renders a judgment against you, the plaintiff never will be able to collect it. Those who are judgment proof are those who have few, if any assets and if any, their aggregate value is either low or their value is not sufficient to justify, economically, the cost of attaching those assets. Further, the judgment proof individual has insufficient income for a plaintiff to attach or income that can not be documented, thus can not be attached.
> 
> Consider a hot dog vendor:
> 
> ...


Not entirely true, the plaintiff can secure a judgement and attach the vendors bank accounts, once interrogatories occur, they can go after anything in the bank, as long as they leave him enough to pay his bills. If they keep it active, they can attach all future wages (see also O.J. Simpson). Only way to avoid it would be a Ch 7 bankruptcy.


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## Another Uber Driver (May 27, 2015)

Frontier Guy said:


> Not entirely true, the plaintiff can secure a judgement and attach the vendors bank accounts,


I picked a hot dog vendor for a reason. He gets paid in cash. He might not have a bank account for the plaintiff to attach.

Back when cab drivers were paid only in cash, most of them did not have bank accounts. Many still do not and had to acquire a debit card so that their credit card processors could pay them. For this reason, most cab drivers are not judgment-proof, any more. The hot dog vendor, however, is.

To be sure, he does risk losing the cash if he is a victim of some sort of crime, but, if he does not put it into the bank, it is difficult for anyone to get it.



Frontier Guy said:


> If they keep it active, they can attach all future wages


As the hot dog vendor is paid in cash, there is no way that the plaintiff can document his "wages". He, of course, is going to lie about his earnings. It is not difficult to hide cash. If you can hide cash from the Internal Revenue, you can hide it from any one or thing.

You mention another thing that many states have, which is a limit on how much a creditor can attach as well as an income floor. In some states, if someone's income is below X dollars, a creditor can not attach his wages. Further, if the income is sufficient that a garnishment can be enforced, the garnishee must be left with a minimum amount of funds.

I came quite close to firing the accountant at the cab company over this. He was paying the garnishment orders of some employees whose income was well below the floor for garnishment. He tried to fuss about it. He refused to believe that there was such a law, even when I showed it to him. I had to remind him that we were not in Pondicherry andl, further, I was his boss, not the other way around. When we got the first complaint letter from a lawyer, he came into my office gleefully, with another company official. I pointed out the law to the other official, who agreed with me. The accountant demanded to know what he should do about the lawyer. I told him to leave the lawyer to me; _that _was *my* job and he knew me well enough to know that I never shied from doing my job.

I sent a letter to that lawyer to inform him that the employee's weekly wages were below the District of Columbia floor,. thus I could not deduct anything from her wages. If he wanted documentation, he could present me with a court order for it and I would give it to him. I never heard from him, again.

Once I sold out and an idiot took over as President of the Company, this accountant went back to his old ways. One employee took them before the Wage and Hour Board and they were required to pay thousands of dollars back to employees. I laughed at both of them over that one.


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## NOXDriver (Aug 12, 2018)

Frontier Guy said:


> At least triple your state minimums require.
> 
> Here's why;
> 
> ...


A judgement is worthless unless the defendant has liquid cash. You might be able to garnish wages, but even then it is YEARS to get anything significant out of it.

Go bankrupt and you can keep most of your assets and the judgement most likely goes away. Even if they have a lien, a Chapter 7 can make that go away in most circumstances

Lots of 'might be able to' when the reality is most lawyers will tell you walk away. They work on contingency and know when there is and isn't any money.


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## McFlyHigh (Mar 18, 2020)

You can always get an Umbrella Liability Policy. Super cheap. 1 Million is like $100/mo.



NOXDriver said:


> A judgement is worthless unless the defendant has liquid cash. You might be able to garnish wages, but even then it is YEARS to get anything significant out of it.
> 
> Go bankrupt and you can keep most of your assets and the judgement most likely goes away. Even if they have a lien, a Chapter 7 can make that go away in most circumstances
> 
> Lots of 'might be able to' when the reality is most lawyers will tell you walk away. They work on contingency and know when there is and isn't any money.


Bankruptcy won't wipe out tax debt, restitution, or civil fines or penalties in most cases.


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## Stevie The magic Unicorn (Apr 3, 2018)

I dug up my old taxi insurance I used to carry when I was an owner operator (before the days of Uber/lyft.

I was paying $467 a month for 1 million in combined limits (6 passenger limit)

But it was actually split up into 2 policies.

A 100/300/100 policy and a supplemental umbrella policy for the company i operated as. (So the insurance policy plus an umbrella policy which together had a combined limit of 1 million).

But my insurance card only listed 100/300/100 but the other policy would also cover something like someone slipping and falling out of the car and breaking their wrist for example, on top of being supplemental to the auto insurance.

The only issue is that the deductible on the million dollar policy was like $5,000.

Basically if I had a 500,000 judgment I’d have to fork over $5,000 (likely the insurance policy off the car being totaled.

Basically if I ever had to USE that policy the business would have been good and done with my rates being jacked up past the point of making any sense at all.


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