Are drivers under the Uber/Lyft/SideCar, etc plan Covered?

Uber has a few variations … but if you are at least 23, have a mid-size car with personal auto insurance, a good driving record, and a smart phone that will download the Uber app, then you may qualify under UberX.
Fares are set, and the driver supposedly receives 80-85% of the fare. Strangers enrolled in Uber will contact those Uber drivers who have identified their availability. If you are one of the available drivers, and provide the transportation … for hire. The further you drive, the more it costs. Hmm … doesn’t this sound like a public or livery conveyance?

Uber advertises that the drivers have their own personal insurance. Uber provides $1million liability coverage as excess over the driver’s insurance. Uber does state that if the primary insurance is not available, then their policy covers from the “first dollar.” This is a good thing … because the mass auto policy has a public or livery conveyance exclusion applicable to Part 4 and ALL optional coverage’s (Parts 5-12).
“… while your auto is being used as a public or livery conveyance. This does not apply to the use of your auto in a share-the-expense car pool arrangement or in an expense reimbursement program either as a volunteer or at work.“

For those individuals who want to be the transportation providers, I would suggest that they investigate just how well and quickly this Uber insurance will apply to an incident because the Mass Auto Policy was NOT designed to address this type of driving activity.

New Vehicle Sharing Exclusionary Endorsement …
Just in case the Failure to Furnish Information Provision falls short in court, the personal auto industry has created another exclusion to “seal the deal.”

AIB Created a Personal Vehicle Sharing Exclusion Endorsement M-0108S
The MA version is short and sweet. It states:

We will not pay any claim for injury or property damage under the policy, while Your Auto is being used in a personal vehicle sharing program. Such programs allow the use of your auto by a person other than you or a household member under an agreement and with payment to you. This Exclusion does not apply to Personal Injury Protection.

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