Many Canadians spend their spare time driving for a rideshare company (Uber, Lyft) to earn some extra money. But you have to remember that you will need extra car insurance coverage when doing so.
Ridesharing coverage is for drivers who use their personal vehicles to transport paying customers. Ridesharing insurance has been available since 2016, making it a new type of coverage for Canadians.
Here are a few reasons why you need this extra coverage in Canada:
Your personal auto insurance does not cover you if you drive for a rideshare company in Canada and they can cancel your coverage at any time if they find out.
You may be covered with your rideshare company, but the coverage will be limited. Anything extra will need to be covered by your own personal insurance.
Ridesharing coverage is affordable (generally less than $100/month). Additionally, ridesharing coverage is cheaper than getting a commercial auto insurance policy used by taxi services. Thankfully, it still gives you and your passengers the necessary coverage.