Shipt Car Insurance: What To Know & How To Save (2024)

If you’re considering becoming a food delivery driver here are the basics of Shipt auto insurance. Shop and compare car insurance for the top 10 car insurance companies based on price, claims, customer feedback, and financial strength.

Many people are taking advantage of the new surge in food delivery with Shipt. Not to eat it but to deliver it.

Drivers have to adhere to the same rules and regulations of the road. This means insurance, valid licenses and registration, etc.

Check out affordable Shipt auto insurance quotes to see if one is right for you. Enter your ZIP code in the free tool above to get a free quote today.

Shipt Auto Insurance Options

In order for you to drive with Shipt, you’ll need to have a form of rideshare car insurance. But what is Shipt?

Shipt was founded in 2014 in Birmingham, Alabama. The company operates through an app and delivers groceries and essential everyday items through a trusted team of drivers.

Shipt now offers next-hour and next-day delivery to over 5,000 cities making new drivers quite the necessity. View more on the rideshare and food delivery statistics on Statista.

There are many types of insurance that can be applied to food delivery including personal (with rideshare/food delivery options), commercial and hired and non-owned.

Personal Car Insurance for Rideshare/Food Delivery: Some personal car insurance providers offer a form of coverage for rideshare and food delivery. These options can vary from full coverage, gap coverage and add-on coverage.

Personal car insurance without options for rideshare and/or food delivery can not be used.

Company	Complete Coverage	Add-On Coverage	No Mileage Restrictions	Food Delivery Option	Offered in All States
Allstate		X			X*
GEICO	X		X	X	X*
Progressive	X	X		X	X*
State Farm		X	X	X	X*

Commercial Car Insurance: Commercial car insurance is an insurance policy for businesses. It covers a car when it’s being used for business purposes and can’t be covered by personal car insurance.

Read more: Can I get car insurance for a car that is used for business purposes?

Commercial car insurance may be an option if your personal car insurance doesn’t allow for any additional coverage. While usually a bit more expensive, this form of car insurance may also offer additional coverage outside the range of personal options.

View more information about commercial coverage through the Insurance Information Institute.

Commercial Car Insurance Coverage

Company	Liability	Uninsured Motorist	Comprehensive Coverage	Collision	Medical Coverage	Rental	Hired Non-Owned
Allstate	✓	✓	✓	✓	✗	✓	✗
GEICO	✓	✓	✓	✓	✓	✗	✗
Progressive	✓	✓	✓	✓	✓	✗	✓
State Farm	✓	✓	✗	✗	✓	✗	✗

Hired and Non-Owned Car Insurance: Hired and non-owned auto insurance is coverage for cars that are used for work by employees or contract workers but that a business doesn’t own.

Not sure which option is best for you. Compare car insurance and discover your best options.

Does Shipt affect car insurance?

Short answer, yes. Driving with Shipt will affect your car insurance. Your Shipt car insurance rates will increase by at least $20 per month when one upgrades a personal car insurance policy.

A commercial car insurance policy will cost you an additional $1,704 annually or $142 monthly. Like a personal policy, commercial Shipt auto insurance rates are based on your driving record, type of car, number of cars, and how often you’ll be driving.

The DMV (Department of Motor Vehicles) has driving and insurance requirements for each state where you can check how your state and insurance company verify your information.

You may also wonder, does Shipt notify your insurance? Once again, yes. Shipt will verify whatever form of rideshare car insurance coverage you choose. This is especially true since Shipt offers no form of car insurance coverage for its drivers.

Car insurance providers, Shipt and the DMV work very closely with each other. One always relies on the other. Your car insurance rates will increase and decrease based on your reported driving habits. The same will happen based on how much you plan to drive with Shipt.

How do you save on Shipt auto insurance?

Discounts

There are several types of car insurance discounts including, safety vehicles, driving habits and history, driver education, driver affiliation, and customer loyalty.

But, commercial car insurance has its own brand of discounts like multi-policy, business experience (business operating at least three years), and business packages (car and general business insurance.

Higher Deductible

Agreeing to a higher deductible upfront will effectively lower the cost of your monthly and annual Shipt auto insurance quote but you’ll need to be prepared to pay more in out-of-pocket expenses in the case of an accident.

No Claims Discount

A no claims discount is a special discount that may be offered when a commercial car insurance policy has filed no claims for an annual year. This type of discount is an award for safe driving. Eligibilty may require 1-3 years with the insurance provider.

Other Ways to Pay

Paying annually can save you an average of one monthly payment. For example, an annual rate of $1,530 will be reduced to $1,402.50 saving you $127.50.

The Insurance Information Institute has more detailed tips on saving on your business insurance. Compare car insurance company reviews and find which providers offer the best quotes.

Choosing a Shipt Auto Insurance

As a Shipt driver, you’re required to utilize one of many types of car insurance for rideshare and/or food delivery. Affordable Shipt car insurance may be amended personal car insurance, commercial insurance, or hired and non-owner insurance.

There are a series of coverage options for most all car insurance providers. You choose the option that best fits your needs.

Although separate, your personal and Shipt car insurance will go hand-in-hand. Your driving behaviors and history will affect all of your car insurance rates.

Depending on what type of coverage you choose, two or more car insurance policies can be expensive but there are a few ways to cut down on costs. These include discounts. deductibles and even your credit score.

There are various discount options that you can look into while shopping around for your rate.

You can view the best Shipt car insurance quotes near you at any time and find one that fits you. Enter your ZIP code below to receive a free quote today.