Updated: March 7, 2025
Advertising & Editorial Disclosure
Personal car insurance doesn’t usually cover accidents while working for food delivery services like DoorDash, Postmates and UberEATS.
State Farm, Progressive and USAA are the top car insurance companies for delivery drivers.
If you plan on using your vehicle for full-time business purposes, consider getting commercial car insurance.
State Farm offers the best delivery driver insurance, with an average annual premium of $883 for full coverage. Getting rideshare insurance will cost you an additional 15% to 20%.
Not all personal auto policies cover delivery driving. The table below compares top insurers offering rideshare, business-use or commercial coverage for delivery drivers.
Company | Monthly Premium | Availability | Best For | Not Ideal For |
|---|---|---|---|---|
State Farm | $74 | All states, except Hawaii and Massachusetts | Delivery drivers needing strong coverage with rideshare add-ons | Drivers needing full commercial insurance for 24/7 delivery use |
Progressive | $93 | All states, except Alaska and Hawaii | Delivery drivers seeking flexible rideshare and business-use coverage | Drivers who need exact cost estimates before getting a quote |
GEICO | $78 | All states, except Michigan and Kentucky | Budget-conscious delivery drivers looking for affordable rideshare insurance | Drivers who need a commercial auto policy for full-time delivery |
Allstate | $94 | California, Texas, Florida, Illinois and New York | Delivery drivers wanting accident forgiveness and perks | Drivers in states where coverage isn’t available |
Farmers | $99 | All states, except Rhode Island, Vermont and Alaska | Hybrid and electric vehicle delivery drivers needing business-use endorsements | Drivers who don’t need business-use coverage |
USAA | $57 | All states, except New Jersey and Massachusetts | Military members delivering part-time who need rideshare add-ons | Non-military delivery drivers |
Esurance | $179 | California, Illinois and New Jersey | Delivery drivers wanting low deductibles and phased rideshare coverage | Drivers needing full commercial auto policies |
State Farm offers affordable policies for various drivers and offers discounts to reduce rates. It scores well in customer service, earning an 882 rating in J.D. Power’s Auto Claims Satisfaction Study, above the industry average of 873.
Discounts for delivery drivers:
Progressive offers insurance for delivery drivers working with platforms like Uber Eats. Personal auto policies typically don’t cover delivery work, but Progressive’s rideshare add-on bridges the gap between personal coverage and the limited insurance from delivery companies.
The add-on provides flexible protection, letting drivers adjust coverage based on how often they drive. It’s usually more affordable than full commercial policies and keeps delivery drivers protected on the road.
Discounts for delivery drivers:
USAA offers delivery driver insurance exclusively for military members, veterans and their families. Since most personal auto policies won’t cover food or package delivery, USAA provides business-use and rideshare endorsements to ensure coverage while driving for platforms like Uber Eats, DoorDash and Instacart. Existing USAA auto insurance customers can add this protection for as low as $6 monthly.
Discounts for delivery drivers:
Rideshare insurance is an add-on offered by some insurers, but it’s not the only choice. You can also opt for commercial car insurance by registering as a commercial driver. Commercial car insurance covers vehicles for business activities like ridesharing, food delivery, contracting or trucking.
State Farm is the best and most affordable provider for delivery drivers, offering low rates, rideshare add-ons and strong customer service. However, other insurers also provide competitive options — see the table below for a coverage and cost comparison.
| State Farm | $34 | $74 |
| GEICO | $35 | $78 |
| Nationwide | $38 | $78 |
| Travelers | $42 | $86 |
| Progressive | $43 | $93 |
| Farmers | $48 | $99 |
| Allstate | $50 | $94 |
Most personal auto policies don’t cover delivery driving. This guide explains how to choose the right coverage, whether it’s a rideshare add-on, business-use policy or commercial insurance.
Choosing the right insurance as a delivery driver ensures you’re covered in case of accidents or damage. Follow these steps to find the best policy for your needs:
Most personal auto policies don’t cover delivery driving. Check with your insurer to confirm if you need additional coverage.
If you drive occasionally, a business-use endorsement may be enough. Full-time drivers may need a rideshare add-on or commercial auto policy.
Rates and coverage vary by provider. Get multiple quotes from insurers offering delivery driver or rideshare coverage.
Some delivery platforms offer limited insurance, but it often covers only liability. Make sure you have the right financial protection for your vehicle.
Many insurers offer savings for safe driving, bundling policies, low mileage and defensive driving courses.
Know when your policy applies and where gaps might leave you unprotected while making deliveries.
Delivery drivers can save on insurance costs by using available discounts. While savings vary by provider, here are some common options to lower your premium:
Insurers reward drivers with a clean record, free of accidents and violations.
Programs like State Farm’s Drive Safe & Save™ track driving habits and offer discounts for safe behavior.
Bundling auto insurance with renters, homeowners or life insurance can lower overall costs.
If you drive fewer miles than the average driver, you may qualify for reduced rates.
Completing an approved driving safety course can help lower premiums.
Some insurers offer lower rates for long-term customers who renew their policies.
Cars equipped with anti-theft systems, lane departure warnings or collision avoidance features may qualify for savings.
Some insurers provide discounts through partnerships with delivery platforms or professional organizations.
Delivery drivers using personal vehicles often go through different coverage phases while working. Insurance companies categorize these phases to determine when personal, rideshare or commercial coverage applies. Below is a breakdown of these phases and the type of insurance typically covering each stage.
Phase | Status | Coverage |
|---|---|---|
Phase 0 | The app is off, and you’re using your car for personal driving. | Personal auto insurance applies. |
Phase 1 | The app is on, but you haven’t accepted a delivery request yet. | Rideshare or business-use endorsement is required since personal policies usually don’t cover this stage. |
Phase 2 | You’ve accepted a delivery request and are en route to pick up the order. | Limited coverage from the delivery platform may apply, but additional rideshare or business-use coverage is recommended. |
Phase 3 | The order is in your vehicle, and you’re delivering it to the customer. | Employer-provided liability coverage may apply, but you need collision and comprehensive insurance to cover your car. |
A personal car insurance policy may suffice for most drivers, but delivery drivers need delivery driver insurance. Some insurers offer a rideshare add-on for this purpose. Check with your provider to see if it’s available. If not, consider switching to an insurer that offers this coverage.
Both rideshare insurance and commercial car insurance provide coverage for drivers using their vehicles for business. When choosing between the two, consider your vehicle’s purpose.
The rideshare insurance add-on assumes you’re using your car both personally and for business. Commercial car insurance may be a better option if you plan on using your vehicle entirely for business.
Standard car insurance usually doesn’t cover work with ridesharing companies. While ridesharing companies provide some insurance, it’s often less comprehensive than personal policies. If you primarily use your car for ridesharing, consider commercial car insurance. Otherwise, a rideshare add-on may be sufficient.
Typically, companies get commercial insurance for vehicles their employees use for takeout deliveries. However, if you’re a full-time independent contractor, you’re responsible for your own commercial car insurance.
Truckers must have commercial car insurance. Trucking companies and bus fleet operators typically insure their vehicles. You must buy commercial car insurance if you own a truck and plan to use it for business.
If you own a contracting or landscaping business and plan to use your vehicle to haul supplies for your company, you’ll need commercial car insurance.
Commercial auto insurance is usually more expensive than personal car insurance due to higher liability risks. Commercial vehicles often require higher liability limits, and insuring multiple vehicles or allowing multiple drivers increases the risk, leading to higher premiums.
Most drivers have personal car insurance, which doesn’t cover delivery work. Your insurer may deny your claim if you’re in an accident while delivering. This guide explains how delivery driver insurance works and outlines coverage options to help you choose the right policy.
A rideshare insurance add-on is ideal for part-time or full-time food delivery drivers, as it covers you while using a delivery app. For full-time business use, commercial car insurance may be a better choice.
Below are answers to some frequently asked questions to help you better understand delivery driver insurance:
Delivery driver insurance isn’t a standalone policy. To stay covered while delivering food or goods, consider a rideshare insurance add-on or commercial car insurance.
Many app-based companies provide insurance for delivery drivers, but coverage is often limited. Personal car insurance typically doesn’t apply while you’re delivering. For example, you might not be covered while waiting for an assignment or driving to the pickup location.
Although not all insurance providers have car insurance for delivery drivers, major companies like Allstate, Esurance, Farmers, Progressive, State Farm and USAA offer a rideshare insurance add-on.
Overview
Costs and service quality can vary widely between states. We selected companies based on their MoneyGeek score in multiple states to recommend the best options for delivery drivers nationwide. Whether you live in Texas or Delaware, these recommendations cover most regions.
Data Acquisition and Depth
MoneyGeek scores incorporated evaluations from trusted sources, including J.D. Power, AM Best and the National Association of Insurance Commissioners (NAIC). With Quadrant Information Services, we analyzed 83,056 quotes from 46 companies across 473 ZIP codes.
Driver Profile
MoneyGeek used a standard driver profile to calculate average rates, adjusting for factors like age, location, driving history, car type, mileage and military status. The standard profile includes:
Scoring Methodology
MoneyGeek scores are weighted to a maximum of 5 points using these categories:
Weightings were modified for specific needs. For example, affordability was weighted 0% for drivers prioritizing customer service. Qualitative judgments were made when insurers offered unique coverages.
Learn more about MoneyGeek’s car insurance methodology.
About Mark Fitzpatrick
Mark Fitzpatrick, a Licensed Property and Casualty Insurance Producer, is MoneyGeek's resident Personal Finance Expert. With over five years of experience analyzing the insurance market, he conducts original research and creates tailored content for all types of buyers. His insights have been featured in publications like CNBC, NBC News and Mashable.
Fitzpatrick holds a master’s degree in economics and international relations from Johns Hopkins University and a bachelor’s degree from Boston College. He's also a five-time Jeopardy champion!
Passionate about economics and insurance, he aims to promote transparency in financial topics and empower others to make confident money decisions.
