In this era of Uber and Lyft, ridesharing can oft be overlooked and yet it can be a great way to save money, reduce driving responsibilities and make new friends.
There are sometimes however issues regarding which insurer is responsible in case of an injurious accident. This is because such ridesharing can be legally viewed as commercial usage of a vehicle which may be prohibited and not covered by normal liability insurance policies.
Thus if you accept payment for providing ride-sharing services in your vehicle, it is imperative that you make sure your auto insurer is aware of how many rides and people are potentially involved.
Insurance rates are base upon risk and the risk associated with driving 4 people to and from a destination is much greater than merely for 1 person.
Just think of it. Conceptually a four person crash increases fourfold the potential expense of medical care and lost income. Insurance companies can be within their rights to exclude coverage for crashes that take place during commercial activity, so play it sfae, if you are ridesharing let your insurer know.
For more go to: https://insurance.maryland.gov/Consumer/Pages/Consumer-Alert---What-Drivers-Need-to-Know-about-Ridesharing.aspx
