Uber, Lyft and other “TNC” drivers can now purchase “Gap Protection” Coverage

Plymouth Rock customers who drive for Transportation Network Companies (TNC) like Uber and Lyft can now purchase a TNC Auto Coverage Endorsement that provides coverage during “Period 1”   – the time beginning when a policyholder turns on their TNC app until the time they accept a fare. The Endorsement ensures that the policyholder will continue to have the same coverages during Period 1, often referred to as the “gap period,” that they have when they are not using their vehicle to provide TNC services.

Currently, Plymouth Rock’s personal auto policy does not provide any coverage during Period 1 and while some TNCs may offer minimal coverage, drivers for TNCs are often left with insufficient liability coverage, personal injury coverage and coverage for damage to their vehicles if they are in an accident during this timeframe. Plymouth Rock’s Endorsement ensures TNC drivers have coverage during Period 1.

In addition, TNC drivers are now required by Massachusetts state law to disclose to their insurance providers if they are using an insured vehicle to provide TNC services.

The TNC Auto Coverage Endorsement is available now. The cost to add the Endorsement is 7% of the premium for the vehicle being used for TNC – or roughly $7 per month for the average annual premium.

The Endorsement is required for all new Prime policies that cover a personal vehicle being used to provide TNC services. Existing Prime policies with effective dates prior to May 1, 2017 should add the Endorsement on their next renewal. The Endorsement is not currently available for legacy policies.

For more information about the endorsement, including more detailed underwriting guidelines, please reference the company’s FAQ. The Endorsement is available in the company’s Agent Web. Download the updated spreadsheet detailing which insurers offer ridesharing coverage.