Yes, you need special insurance to drive for DoorDash. If you do not tell your personal car insurance company about driving for DoorDash and purchase additional coverage, they may cancel your policy and deny your claims.
In most states, DoorDash provides third-party liability insurance to pay for other people's injuries and property damage that you cause, but it only kicks in after your personal car insurance policy has denied your claim. So, if you do not purchase an auto insurance policy that covers you while you're driving for DoorDash, you will have to pay out of pocket for any damage that you cause while driving for the company. Plus, DoorDash's insurance policy will never pay for damage to your own vehicle.
Insurance Options for DoorDash Drivers
- Purchase rideshare coverage from your personal auto insurance company.
- Switch to an insurance company that offers rideshare coverage.
- Buy a commercial car insurance policy.
Many insurance companies offer an inexpensive policy add-on that will cover you while driving for a company like DoorDash. For instance, State Farm says its rideshare coverage will add about 15%-20% to your premium, and Mercury offers rideshare insurance for about $27 per month. However, each insurer treats delivery driving differently. Some insurers will cover driving for DoorDash if you purchase a rideshare add-on, while others will require you to buy a separate commercial policy.
For more information, check out WalletHub's guide to rideshare insurance
This answer was last updated on 03/07/24 and it was first published on 06/28/23. For the most current information about a financial product, you should always check and confirm accuracy with the offering financial institution. Editorial and user-generated content is not provided, reviewed or endorsed by any company.