Does your personal auto policy cover food delivery?

We know a lot of people have started delivering food through companies like Doordash or Grubhub, especially since Covid began! It may seem like a simple way to start making money on the side, but it can get complicated when it comes to your auto insurance.

What if you were to get in an accident while on the job? Would your auto insurance pay the claim? Or would the food delivery company's insurance pay? That depends!

It’s all about the timing. From the moment you turn on the app and accept a delivery job, your personal auto insurance will no longer cover you as you are now using your vehicle for business. The delivery company’s insurance, however, won’t start covering you until you have the food/product in your car and are on the way to the customer. That means if you get in an accident on your way to pick up the food, you may have no coverage at all.

Some personal auto insurance policies even have exclusions stating they won’t cover drivers or vehicles that are used for these kinds of services at all. Others just need you to notify them so they can adjust your policy or apply a surcharge. Each situation and company is different, so it’s important you check those details before you make your first delivery.

If you make food deliveries but didn't make any updates to your auto insurance, give us a call! We can help.