With more people seeking delivery services during the Coronavirus pandemic, many companies are looking for drivers to shuttle meals, medicine, groceries, and other items to people at home. Before you think about making some extra cash as a delivery driver using your own vehicle, you need to be aware of the insurance pitfalls.
You might think the company you work for will cover the costs of an accident while you’re on duty. Right? Wrong. If you’re in an accident while making (or returning from) a delivery in your own car, you may be personally on the hook for the car repairs and medical bills — both for yourself and anybody else involved in the accident. Many delivery companies, ride sharing services, and restaurants don’t cover those costs.
You might also think your car insurance covers you. Right? Wrong again. Most auto insurance policies do not cover the business use of your own personal vehicle. That means you might have to pay for medical care and car repairs out of your own pocket.
Before you become a delivery employee or gig worker, here are some things to consider:
Earning money is hard enough. You don’t want a surprise accident to cost you money while you’re hustling to make it.