Instacart Car Insurance: What to Know & How to Save (2023)
Your standard personal car insurance policy will not provide coverage for accidents while delivering for Instacart. Car insurance companies will require you to purchase an additional business or commercial car insurance policy to act as your Instacart auto insurance coverage. Commercial policies can be purchased for as little as $273 per month.
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Diego Anderson
Licensed Real Estate Agent
Diego Anderson is a Real Estate Agent based in the Bay Area of California. Having received his Real Estate License at the age of 18, he wasted no time learning the ins and outs of the industry. With a focus on residential dual agency, he has a passion for supporting and educating families on their home buying and selling decisions. He is no stranger to new builds and new developments. He also r...
Licensed Real Estate Agent
UPDATED: Jul 6, 2023
It’s all about you. We want to help you make the right coverage choices.
Advertiser Disclosure: We strive to help you make confident insurance decisions. Comparison shopping should be easy. We are not affiliated with any one insurance provider and cannot guarantee quotes from any single provider.
Our insurance industry partnerships don’t influence our content. Our opinions are our own. To compare quotes from many different insurance companies please enter your ZIP code on this page to use the free quote tool. The more quotes you compare, the more chances to save.
Editorial Guidelines: We are a free online resource for anyone interested in learning more about insurance. Our goal is to be an objective, third-party resource for everything insurance related. We update our site regularly, and all content is reviewed by insurance experts.
UPDATED: Jul 6, 2023
It’s all about you. We want to help you make the right coverage choices.
Advertiser Disclosure: We strive to help you make confident insurance decisions. Comparison shopping should be easy. We are not affiliated with any one insurance provider and cannot guarantee quotes from any single provider.
Our insurance industry partnerships don’t influence our content. Our opinions are our own. To compare quotes from many different insurance companies please enter your ZIP code on this page to use the free quote tool. The more quotes you compare, the more chances to save.
On This Page
- Instacart does not offer any auto insurance for drivers
- Your personal car insurance policy will not cover any damages or injuries from an accident while delivering for Instacart.
- You must carry commercial car insurance in addition to your personal car insurance.
- You could get bundling discounts for having both a personal and commercial car insurance policy with the same company.
The COVID-19 pandemic has resulted in many people losing their jobs and many others with high-risk health conditions staying home.
The outcome?
Among other delivery services, the need for Instacart delivery workers has increased in order to meet demand. Instacart does not provide coverage for their delivery drivers; therefore, you will need commercial auto insurance on top of your personal car insurance.
Use our free quote tool above to compare the best rates for Instacart commercial car insurance policies.
What are the best car insurance companies for Instacart delivery drivers?
If you decide to deliver for Instacart, you must be 21 or older and verify you have your state’s minimum car insurance requirements.
Your state may have additional laws related to food delivery car insurance.
Is your personal car insurance policy enough? No. you must buy car insurance known as a commercial car insurance policy.
Below are sample commercial car insurance quotes for food delivery drivers from Progressive. Another great option is Geico commercial auto insurance. You can compare the two companies by visiting our Geico vs. Progressive car insurance guide.
| Type of Car Insurance Coverage | Progressive Sample Monthly Rates | Sample Monthly Rates Increase (From Car Insurance Alone) |
|---|---|---|
| Food Delivery (Business & Personal Auto Insurance) | $296.83 | 180.47% |
| Food Delivery (Business Auto Insurance Only) | $273.08 | 158.03% |
| Personal Insurance (Delivery) | Won't Cover | Won't Cover |
| Personal Insurance (No Delivery) | $105.83 | N/A |
These sample commercial car insurance rates will be on top of your personal policy. Check out our Progressive insurance review and Geico insurance review to inquire about discounts for bundling policies.
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What is Instacart commercial car insurance?
Since Instacart doesn’t provide car, health, personal injury protection, or worker’s compensation, you are pretty much on your own as a contracted 1099 employee.
You are completely on your own if you get in an accident while delivering for Instacart without a commercial insurance policy.
When purchasing your commercial car insurance policy, be sure to have enough coverage for you and your vehicle as well as other drivers and their vehicles. Start by discussing your options for commercial coverage with auto insurance companies.
What if you get into a car accident delivering for Instacart?
If you don’t have proper and sufficient food delivery insurance, you could suffer far more than temporarily being unemployed while your car is in the shop.
Companies that provide personal car insurance for food delivery drivers reserve the right to deny claims to cover injuries and damages if you don’t have a commercial car insurance policy.
Without the proper coverage, you could be sued for all of the costs related to an accident. These costs could climb into the hundreds or thousands of dollars.
In addition, you will need to get car insurance for people with accidents, which will increase your rates. Your car insurance company could also cancel your personal policy. If this happens, your vehicle registration could be revoked and your driver’s license could be suspended.
It’s just not worth the risk. If you decide to deliver for Instacart, purchase both personal car insurance coverage and a commercial policy for car insurance coverage.
To get affordable car insurance whether it’s personal or commercial, enter your zipcode below to get free quotes from companies in your area.
Case Studies: Instacart Car Insurance – Real-life Scenarios and Risks
Case Study 1: Instacart Delivery Driver
John is an Instacart delivery driver who uses his personal car for work. One day, while making a delivery, he gets into an accident. Unfortunately, John’s personal car insurance policy does not cover accidents that occur while delivering for Instacart. As a result, John is responsible for all the damages and injuries, and he may face legal and financial consequences.
Case Study 2: Inadequate Coverage
Sarah, another Instacart delivery driver, relies solely on her personal car insurance policy and doesn’t have additional commercial coverage. One day, she gets into a major accident while delivering groceries. Her insurance company denies her claim because her policy excludes commercial or delivery activities.
Sarah is left with substantial expenses and faces the risk of being sued for the costs related to the accident.
Case Study 3: Proper Coverage
Alex is an Instacart delivery driver who understands the importance of having appropriate insurance coverage. He purchases a commercial car insurance policy in addition to his personal policy. One day, he gets into a minor accident while on a delivery. Thanks to his commercial coverage, Alex’s insurance company covers the damages and injuries, saving him from significant financial burdens.
Frequently Asked Questions
Do I need special car insurance if I drive for Instacart?
Yes, if you drive for Instacart as a delivery driver, your personal car insurance may not provide coverage during work-related activities. It’s important to inform your insurance company about your work as an Instacart driver and inquire if you need additional coverage, such as commercial auto insurance or a rideshare endorsement.
What type of car insurance coverage does Instacart provide for its drivers?
Instacart provides limited liability coverage to its drivers while they are actively engaged in a delivery. This coverage is designed to supplement the driver’s personal insurance but may only apply in certain situations. It’s crucial to review the specific terms and conditions of Instacart’s insurance policy to understand the coverage provided.
How can I ensure I have adequate insurance coverage while driving for Instacart?
To ensure you have adequate insurance coverage while driving for Instacart, it’s recommended to:
- Inform your personal auto insurance company about your work as an Instacart driver.
- Inquire if you need additional coverage, such as commercial auto insurance or a rideshare endorsement.
- Consider purchasing a separate commercial auto insurance policy if required or if your personal insurance doesn’t provide sufficient coverage.
Can I save money on car insurance as an Instacart driver?
There are a few ways you can potentially save money on car insurance as an Instacart driver, such as:
- Comparing quotes from multiple insurance companies to find the best rates.
- Taking advantage of any discounts available, such as safe driving discounts or bundled policies.
- Opting for higher deductibles, which can lower your premium.
- Maintaining a good driving record and avoiding accidents or traffic violations.
Are there any specific car insurance discounts or programs for Instacart drivers?
Some insurance companies may offer specific discounts or programs for gig economy drivers like Instacart drivers. It’s worth checking with different insurers to see if they have any specialized offerings or discounts tailored to delivery drivers.
What should I do if I get into an accident while driving for Instacart?
If you get into an accident while driving for Instacart, you should:
- Ensure everyone involved is safe and seek medical attention if needed.
- Contact the authorities and report the accident.
- Document the incident by taking photos and gathering witness information.
- Report the accident to Instacart and your insurance company.
- Cooperate with the claims process and provide all necessary information to your insurance company.
Can I use a personal insurance policy for my Instacart deliveries to save money?
Using a personal insurance policy for your Instacart deliveries may not provide adequate coverage, as personal policies often exclude commercial or delivery activities. Relying solely on personal insurance could result in denied claims and gaps in coverage. It’s essential to consult with your insurance company to ensure you have appropriate coverage while driving for Instacart.
Where can I find more information about car insurance for Instacart drivers?
To find more information about car insurance for Instacart drivers, you can visit the Instacart website for details on their insurance coverage. Additionally, contacting your insurance company or consulting with an insurance agent who specializes in commercial auto insurance or rideshare coverage can provide you with personalized guidance based on your specific situation.
Are you looking for free insurance quotes?
Your one-stop online insurance guide. Get free quotes now!
Secured with SHA-256 Encryption
Diego Anderson
Licensed Real Estate Agent
Diego Anderson is a Real Estate Agent based in the Bay Area of California. Having received his Real Estate License at the age of 18, he wasted no time learning the ins and outs of the industry. With a focus on residential dual agency, he has a passion for supporting and educating families on their home buying and selling decisions. He is no stranger to new builds and new developments. He also r...
Licensed Real Estate Agent
Editorial Guidelines: We are a free online resource for anyone interested in learning more about insurance. Our goal is to be an objective, third-party resource for everything insurance related. We update our site regularly, and all content is reviewed by insurance experts.