Customers working for TNCs like Uber and Lyft can drive with confidence.
State Farm® Introduces Transportation Network Company Driver Coverage in Additional States
Bloomington, Illinois (October 21, 2016) – State Farm is introducing a new coverage endorsement in several states to help fill insurance gaps for its policyholders who use their personal cars to provide rides for a Transportation Network Company (TNC), like Uber and Lyft. The TNC industry is rapidly changing the livery/taxi industry by using the latest mobile technology to facilitate rides for hire. With these new transportation services in the marketplace, drivers are exposed to new risks.
Insurance provided by TNCs may be limited in scope and coverage. Personal auto policies generally do not extend coverage to the use of personal cars as taxis or livery vehicles, including their use in TNC services.
To adapt to changing customer needs, beginning Monday, October 21, 2016, State Farm will offer a Transportation Network Company Driver Coverage endorsement in Connecticut, Delaware, Georgia, Idaho, Indiana, Louisiana, Mississippi, North Dakota, Nebraska, Ohio, Oklahoma, Oregon, Washington and West Virginia.
The effective date for new and renewal for all states except GA: October 21, 2016. The effective date for new and renewal for GA: November 21, 2016
Ten jurisdictions obtained the endorsement earlier this year: Alabama, California, Colorado, Iowa, Kentucky, Maine, Minnesota, Tennessee and Wisconsin .
"Adapting and innovating to our customers' changing needs is critical," said Vicki Harper, State Farm Public Affairs Specialist. "This new product is an example of our commitment to our customers and provides them coverage, and peace of mind, when they use their personal cars to provide TNC services."
TNCs may provide high liability coverage limits while a paying passenger occupies the driver's vehicle or when the driver has been connected with a passenger and is on the way to pick that person up. But TNCs tend to provide a much lower limit of liability coverage when drivers are just available for hire and may not provide the drivers with any medical payments, comprehensive, or collision coverages at all. The TNCs may not be providing coverage for injuries to the driver or coverage for any damage to the driver's personal car.
The new, optional State Farm TNC Driver Coverage endorsement enables a policyholder to have his/her personal auto policy fill in the coverage gaps left by TNC-provided insurance. This cost-effective endorsement provides the driver with the full liability coverage limits carried on his/her auto policy during the period of time when the driver is available for hire, and provides the driver with all other coverages applicable to his/her auto policy during all periods of TNC driving.
Customers in these states who drive for a TNC should contact their local State Farm agent to learn more about the new State Farm TNC Driver Coverage endorsement.
For 100 years, the mission of State Farm has and continues to be to help people manage the risks of everyday life, recover from the unexpected, and realize their dreams. State Farm and its affiliates are the largest providers of auto and home insurance in the United States. Its 19,300 agents and nearly 55,000 employees serve approximately 86 million policies and accounts – which includes auto, fire, life, health, commercial policies and financial services accounts. Commercial auto insurance, along with coverage for renters, business owners, boats and motorcycles, is available. State Farm Mutual Automobile Insurance Company is the parent of the State Farm family of companies. State Farm is ranked No. 39 on the 2021 Fortune 500 list of largest companies. For more information, please visit http://www.statefarm.com.