From Illinois Business Journal news services
Farmers Insurance, one of the largest multiline insurer groups in Illinois, has introduced new “rideshare insurance,” designed to make options available for ride-hailing drivers in the state.
“As a leading provider of automobile insurance in the U.S. and a market leader in the ride-hailing insurance market, Farmers has developed this innovative Rideshare Insurance Coverage to offer Illinois ride-hail drivers coverage options as part of their Farmers personal auto insurance policies,” said Mariel Devesa, head of product innovation for Farmers Insurance. “We recognize that consumer needs are continuing to evolve and our ability to provide this important coverage to customers is a further demonstration of our commitment to meeting changing consumer demands.”
Farmers worked with representatives of the Illinois Department of Insurance, legislators and leaders of Transportation Network Companies to develop a product specifically designed for ride-hailing drivers and make available a type of insurance coverage specified in Illinois’ new ride-hailing law.
Under the new Illinois law, ride-hailing drivers will be required to have insurance coverage from the moment they turn on their rideshare app. Since personal automobile insurance policies generally were not designed to provide ride-hailing drivers with coverage while they are working, the introduction of this new coverage will help to fill a potential gap in coverage.
Farmers Rideshare Insurance Coverage provides customers coverage when a driver turns on the ride-hailing application and during the time the driver is awaiting a match. The Farmers Rideshare Insurance Coverage will extend a driver’s Farmers auto insurance coverage until they accept a ride, at which point their TNC affiliate’s commercial insurance coverage would apply.
Coverage enables drivers to select the coverage that fits their needs, including comprehensive and collision coverage that can pay for damages to their own vehicle, uninsured/underinsured motorist coverage (in case they are hit by a driver who isn’t insured or is underinsured), and medical payments coverage.
While coverage choices and premiums will vary by individual, the additional coverage provided by the Farmers Rideshare Insurance Coverage endorsement will generally add approximately $15 per month to a customer’s premium.
Visit farmers.com/rideshare to find a local agent.