We have become a society of sharing. Home sharing. Ride sharing. Even driveway sharing. Over sharing via social media and the World Wide Web. While some sharing can be fun and exciting in today’s modern world, there are very real risks you need to consider – as well as how they relate to your insurance needs and coverages.
The Current Problem with Sharing Services
The biggest risk you face when engaging in home or ride-sharing ventures is the financial risk that occurs when accidents happen. No matter how carefully you screen people you allow into your home or how careful you are when driving others around, there is always a risk of accidents, injuries, and malicious intent by short-term renters. The problem is that your current homeowners or auto insurance doesn’t cover what happens to your home or vehicle when engaged in commercial activities. This includes things like sharing ventures.
Auto-Sharing Coverage Concerns
Auto sharing offers concerns that extend beyond actively transporting paying customers. Your insurance may not cover your actions behind the wheel when driving to the location to pick up a fare, while the fare is in your car, or on your way home after delivering your fare.
If you use the insurance offered by the ride-share service you’re participating in, make sure that the coverage extends to all aspects of the transaction and not just the time while you are transporting a passenger.
Risks include things like:
- Damage to car during auto accident.
- Bodily injury liability if a passenger or other person is injured during your trip.
- Property damage to other vehicles or property.
- Auto repair to other’s cars following an accident.
These are just a few reasons it’s important to know you have insurance coverage that will meet all your needs when acting as a ridesharing driver.
Home Sharing Coverage Concerns
Insurance coverage when sharing your home can be problematic as well. When you have strangers in your home, you’re not only facing a liability risk if they are injured while on your property, or if they damage your neighbors’ properties, but you’re also facing risks related to the damage they can do to your home.
Protecting Your Finances and Your Property
Getting the right type and amount of insurance protection is of critical importance when you participate in ride sharing or home sharing activities. Otherwise you could find yourself paying a price that is much higher than you intended for the privilege. Work with a trusted insurance agent today to make sure you are protected.