Allstate now is offering ride-hailing coverage in five more states for customers who drive for a transportation network company ("TNC") such as Lyft or Uber – meaning that its "Ride for Hire" coverage is available in 47 states.
The new states are Oregon, Connecticut, Alaska, Wyoming, and North Carolina.
"We created this coverage in response to our customers' needs," said Geoff Williams, vice president of Allstate's auto business. "Ride-hailing is here for the long term and Allstate is committed to protecting our customers in this rapidly developing market."
The company said in a statement that, on average, an Allstate customer would pay only about $20 each year to add this optional coverage. "It is designed to work as excess insurance over what the TNC commercial policy offers, ensuring needed protection without duplication," according to Allstate .
Allstate explained that its Ride for Hire coverage "helps fill some of the gaps that can arise," as follows:
- Some TNCs may provide their drivers liability coverage when they are logged into the app but have not accepted a fare from the TNC. Allstate's coverage can help fill the gap that arises when a customer's personal auto policy liability limits are greater than what's provided by the TNC. During this period, Ride for Hire can also help fill gaps that might arise under certain other coverages, such as collision, comprehensive, and uninsured/underinsured motorist.
- The deductible associated with collision/comprehensive coverages provided by the TNC when qualifying drivers have accepted an assignment or have a TNC passenger in the car may be higher than what some customers carry on their personal auto policy. Allstate's Ride for Hire coverage can help fill the gap between the higher commercial deductible and the driver's personal auto policy deductible, which is usually lower.
Pending regulatory approvals, Allstate said, its Ride for Hire coverage is expected to be available countrywide later this year.