You may be one of the rare delivery drivers that always obey the speed limit and all other traffic laws, but that doesn’t mean you’re immune from accidents. You can’t predict what other drivers will do, and the more you drive, the higher your chance of being in an accident. Keep reading to find out what your insurance will do for you if and when your luck runs out.
Who Will Pay for Your Accident Costs?
There are three main sources of compensation if you’re involved in an accident.
The Other Driver
If the other driver is at-fault for an accident, you can file a claim against their insurance company or bring a lawsuit against them to recover any expenses not covered by insurance. Assuming you’re able to prove fault, there are three risks to relying on the other driver to pay.
- Even if you think you’re a careful driver that would never cause an accident, you can still make a mistake. Besides, the police and/or insurance company could find that you were at-fault or that there was no fault, and you need to pay your own expenses.
- The other driver may not have insurance or may not have enough insurance to cover your claims.
- It can take time to settle an insurance claim or court case. If you have bills to pay now, that may be time you don’t really have.
Your Car Insurance
You may have a high-limit policy, but that may not matter if you’re delivery driving. Delivery driving is often an excluded business activity. Since personal car insurance is only for personal use, the insurance company wouldn’t pay your claim. That includes both your expenses and any liability you have to the other driver. You’d need to very carefully read the fine print of your insurance policy to see if you’d have any coverage for an accident.
Your Health Insurance
Relying on your health insurance to cover your expenses in an accident can also be a mistake. You would likely need to pay your deductible, and certain expenses, such as emergency transportation and physical therapy, often have lower limits than what your actual costs would be for auto accident injuries. In addition, health insurance is not a disability coverage and doesn’t cover your lost wages while you’re unable to work.
How You Can Get Coverage for Delivery Driving
There are four common types of coverage that you can get to protect you while delivery driving.
Employer’s Hired and Non-Owned Policy
You may be covered by your employer’s hired and non-owned policy if they have one. This type of coverage applies to the business’s employees while they’re conducting business. Most businesses only buy coverage for liability and business property damage, so you’d need to find other coverage for damage to your car.
Supplemental Insurance Provided By Your Company
Some delivery services offer supplemental insurance coverage. These coverages supplement your main personal insurance by kicking in when it “turns off.” This option is more common with delivery apps rather than individual restaurants. The downside is that there may be times, such as when you don’t have a delivery, where neither the supplemental insurance nor your main insurance applies.
Added Coverage You Buy
Some insurance carriers will give you an option to buy supplemental insurance on your main policy to cover your business activities. This is often a cost-effective option.
Commercial Car Insurance
You can also buy a full commercial car insurance policy. This is like a personal car insurance policy but for business activities.
To learn more about your options or to get a quote, contact BWO Insurance of Kenosha/Racine.
