Personal auto policies in Texas exclude coverage while you're driving for hire. The rideshare and delivery companies provide some coverage, but only during specific phases of the trip — and almost always with a very high deductible.
The three rideshare phases
- Phase 0: app off — your personal policy applies
- Phase 1: app on, waiting for a request — limited contingent liability from the platform; no physical damage
- Phase 2/3: en route to or carrying a passenger — platform's commercial policy applies, usually with a $1,000–$2,500 deductible
The gap most drivers don't know about
Phase 1 is the dangerous gap. If you crash with the app on but no ride accepted, the platform's coverage is minimal and your personal policy excludes the loss. The fix is a rideshare endorsement on your personal policy — typically $10–$25 per month.
Food delivery is different
Most food-delivery platforms (DoorDash, Uber Eats, Instacart) do NOT provide collision or comprehensive coverage at all. You need a commercial auto policy or a delivery endorsement to be fully covered while making deliveries.
Don't hide it from your insurer
Failing to disclose rideshare or delivery use is one of the fastest ways to have a claim denied and a policy non-renewed. Tell your agent — there's almost always an affordable endorsement available.
This article is for general information only and is not legal or tax advice. For guidance specific to your situation, talk to a licensed Texas insurance agent. Ready to put it into practice? Get a free quote or request a policy review.