The Massachusetts personal auto policy is very strict when it comes to Uber/Lyft or other rideshare programs.
Per a recent article in The Massachusetts Agent (Official Newsletter of the Massachusetts Association of Insurance Agents), companies can void all optional coverage if the consumer is in an accident while working as a driving service.
The article states, “Here is how the policy may or may not respond:
- Part 3. Bodily Injury Caused by an Uninsured Auto – Coverage is limited to $30/80M for anyone injured while occupying your auto while it is being used as a public or livery conveyance.
- Part 4. Damage to Someone Else’s Property – The policy will not pay if property damage occurs while your auto is being used as a public or livery conveyance.
- All Optional Coverages – The policy will not pay under any of the optional coverages if the accident happens while your auto is being used as a public or livery conveyance.
- Part 12. Bodily Injury Caused by an Underinsured Auto – The policy will not pay for anyone injured while occupying your auto while it is being used as a public or livery conveyance.”
In addition, if the insurance company knows how vehicle is being used, they can cancel coverage.
Although premium prohibitive, the other option is to write coverage as a commercial vehicle/commercial insurance policy.