Best Auto Insurance for Food Delivery Drivers in 2024 (Save Big With These 10 Companies!)

The best auto insurance for food delivery drivers comes from State Farm, Geico, and Farmers.

If you are looking for food delivery auto insurance, then it is important to compare companies and see which policy works best for your needs.

Our Top 10 Company Picks: Best Auto Insurance for Food Delivery Drivers

One thing you may want to consider is commercial auto insurance, which we discuss in the guide below. In our guide below, we’ve provided important information on how to buy food delivery auto insurance. Read on for help finding the perfect insurance company and policy.

To determine what policy works best for you, it is important to determine your exact needs and wants. Get the best auto insurance rates possible by entering your ZIP code above into our free comparison tool today.

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#1 – State Farm: Top Pick Overall

Pros

• Snapshot Program: Progressive’s reward program works well if you’re a safe driver.
• Bundle Options: By bundling insurance, you can end up saving money. Learn more with our State Farm auto insurance review.
• Discounts Available: You can get discounts for bundling, having continuous coverage, or being a good student.

Cons

• Customer Service: Drivers have reported low satisfaction with customer support.
• Snapshot Program: The Snapshot program can actually increase your rates if your driving habits don’t meet State Farm’s standards.

#2 – Geico: Best Ways to Save Money

Pros

• Insurance Options: Drivers can get a number of different add-ons, such as accident forgiveness, rideshare insurance, and classic car coverage.
• DriveEasy: This program provides low-mileage drivers with a break as long as they maintain safe driving habits. You can learn more with our Geico auto insurance review.
• Discounts: There are over a dozen ways to save money including being accident free, being a federal employee, or being a good driver.

Cons

• High Risk, High Rates: Drivers who have DUIs will be paying more than the average.
• No Gap Insurance: Necessary if you still owe money on a vehicle that is totaled after an accident.

#3 – Farmers: Best Claim Handling

Pros

• Financial Strength: Farmers has an A+ with A.M. Best, which signifies that a company is doing well, thus meaning payouts will not be a hassle.
• Claim Handling: Drivers report high levels of satisfaction with how claims are handled. You can learn more with our Farmers auto insurance review.
• Farmers App: Allows drivers to get quotes, report claims, and access their insurance information.

Cons

• Customer Reviews: Drivers don’t leave as many reviews so there is less to go by when it comes to experiences.
• Availability: Farmers auto insurance isn’t offered in every state.

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#4 – Progressive: Best for High-Risk Drivers

Pros

• Affordable High-Risk Coverage: Drivers who are determined as being high-risk will still be able to have low rates, though not as low as they would be with a clean driving record. You can learn more with our Progressive auto insurance review.
• Rental Car Reimbursement: If you need a rental while waiting for your car to be repaired after an accident, Progressive will cover the cost.
• Gap Insurance: This will pay off any remaining total on your car loan should you get into an accident and your car is totaled.

Cons

• Customer Service: Progressive seems to have poor customer satisfaction ratings especially when it comes to claims.
• Teens Pay More: Younger drivers will pay more than average for auto insurance.

#5 – Nationwide: Best for Safe Drivers

Pros

• Financial Stability: A.M. Best lists Nationwide as being in superior standing, which is an A+. You can learn more with our Nationwide auto insurance review.
• SmartRide: This is an app that provides a usage-based discount dependent on miles driven, as well as certain driving habits.
• Coverage Offered: You can get gap, medical payment, rental car, and bodily injury coverage.

Cons

• Availability: Not offered in every state.
• Discount Options: Some discounts are not offered in every state or don’t apply to every driver.

#6 – Allstate: Best Claim Satisfaction

Pros

• Coverage Options: Allstate provides gap, rental car, and rideshare insurance.
• Reward Program: With the Allstate reward program, you can get a variety of coverage options. Allstate is one of the top 10 auto insurance companies in the United States.
• Claim Satisfaction Guarantee: If a driver thinks their claim settlement is too low, Allstate will provide a small portion of the difference to you. This comes free with all policies.

Cons

• Expensive Senior Rates: Drivers over the age of 60 will pay more than average for auto insurance.
• Poor Credit, High Rates: Drivers with a low credit score will pay nearly double for coverage with Allstate.

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#7 – Liberty Mutual: Best Accident Forgiveness

Pros

• Lifetime Replacement Guarantee: Repairs done at an approved shop will get a lifetime guarantee. You can learn more with our Liberty Mutual auto insurance review.
• RightTrack Program: Drivers can save up to 30% on your auto insurance with this program, based on driving habits.
• Accident Forgiveness: Liberty Mutual won’t raise your rates as long as you stay three years without an accident, and then your first accident is forgiven.

Cons

• Claim Satisfaction: Drivers have reported being unhappy with the way claims are handled and paid out.
• Customer Service: There have been reports of poor wait times for customer service on the phone and claim handling.

#8 –American Family: Best Coverage Options

Pros

• Financial Strength Rating: American Family has an A (excellent) rating with A.M. Best. You can always compare company ratings, as seen in our American Family vs. Progressive auto insurance review.
• Discount Opportunities: There are more than a dozen offered discounts, including ones for enrolling in auto pay and being a good driver.
• Coverage Choices: Drivers can get gap insurance, which isn’t offered by every insurance company.

Cons

• Claim Handling: Drivers have reported that the claim process is not straightforward and can be frustrating.
• Availability: Not available in all states.

#9 – Travelers: Best Availability

Pros

• Availability: You can purchase auto insurance in all of the United States.
• IntelliDrive: With this program, you can save up to 30% on your coverage. You can learn more with our Travelers IntelliDrive review.
• At-Fault Rates: Drivers with tickets or at-fault accidents on record will still be able to get affordable coverage, with rates being less than the national average.

Cons

• Claim Handling: There have been numerous complaints regarding the hassle surrounding the claim process.
• Raised Rates: If you’re not a safe driver and you use the IntelliDrive program, you may actually see an increase in your auto insurance premiums.

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#10 – USAA: Best for Military

Pros

• SafePilot: Drivers can save up to 30% on their auto insurance depending on their driving habits. You can learn more with our USAA SafePilot review.
• Additional Coverage Options: Drivers can get a wide variety of add-ons including insurance for classic cars and rental cars.
• Affordable Rates: USAA offers stellar pricing for military members, veterans, and their families.

Cons

• Customer Service: There are a high number of complaints from drivers.
• No Gap Coverage: Not offered by every company, but still important if you owe a lot of money on your vehicle.

Types of Delivery Driver Auto Insurance Policies

While there are no specific insurance requirements to deliver food, your personal insurance may refuse to cover you if you are involved in an accident while using your car for work. Even having the minimum amount of coverage required by state is going to be less expensive than medical bills or fines.

Food Delivery Driver Auto Insurance Monthly Rates by Coverage Level & Provider

Without proper coverage, drivers can be faced with financial burdens as well as potential legal issues if insurance is required by their state. Plus, if you’re in an accident with another driver, you’ll be responsible for damages and medical expenses for everyone else in the other car.

Business Insurance for Delivery Drivers

Some companies offer insurance policies for their delivery drivers while others don’t. In case you aren’t provided a policy, then it is important to obtain a business-use add-on to your personal policy or a commercial auto insurance policy.

With a business use add-on, limited driving for business use is allowed. This type of policy is great for someone who is delivering food part-time with their personal vehicle. However, it may not cover vehicles that are used for full-time food delivery. It’s important to ensure you have the right amount of coverage before you get on the road.

Accidents can be scary, but knowing what to do after a crash can help you be better prepared for the unexpected. Take these 5 steps after an accident: https://t.co/pjrDcz9I4L pic.twitter.com/Zxc45LwVx3

— Farmers Insurance (@WeAreFarmers) February 29, 2024

You can also look into getting a commercial policy for your vehicle, which will provide coverage for any driving related to your job. Commercial auto insurance is often used by a business owner who has work vans or similar vehicles. Commercial policies usually include the following:

• General Liability
• Property Damage
• Combined Single Limit
• Uninsured/Underinsured Motorist
• Comprehensive Coverage
• Collision Coverage

However, the types of coverage in commercial policies can differ from company-to-company. Be sure to discuss your needs with each potential company and look into different companies as this is the best way to find which policy works best for you.

Most companies don’t offer food delivery vehicle insurance specifically, so you’ll have to call a specific insurance company to see if delivery drivers are covered.

Personal Insurance for Food Delivery Drivers

There is a wide variety of common auto insurance coverage types, and unfortunately delivery driver coverage might not be one of them. In most cases, an insurance company won’t cover delivery driving under a personal policy. Even though many people use their personal vehicles when driving for a delivery platform, personal auto policies do not cover people while that vehicle is being used in a commercial capacity.

Another reason that insurance providers don’t cover accidents that take place during the commercial use of your car under your personal auto insurance policy is that increased time driving means there is an increased risk for an accident. As mentioned above, you will need to purchase a business use add-on or commercial policy.

Many larger food delivery companies offer insurance policies to their drivers. Be sure to always check with your company to see what they offer. This can be a more affordable option for drivers that already have personal auto policies and you may discover that getting your own commercial policy is a better option.

Company-Provided Delivery Driver Auto Insurance

Is there free auto insurance for delivery drivers? Some food delivery services do provide liability coverage for their drivers, such as UberEATS and Postmates. This coverage will protect you from liability in an accident on the job. However, you will still need to provide a policy that meets your state’s legal requirements.

Take a look at this table of delivery services and the auto insurance coverage they offer:

Check with the company you work for to find out what type of coverage they offer. During the current COVID-19 pandemic, some states have loosened auto insurance restrictions on delivery drivers.

Auto Insurance for Pizza Delivery Drivers

Pizza delivery insurance is similar in most ways to insurance for other food delivery drivers. A personal auto insurance policy won’t cover delivering pizzas and a commercial policy is worth considering. Pizza delivery insurance programs are offered through some insurance companies, rather than the pizza companies themselves.

For example, there is no such thing as Pizza Hut delivery insurance, however, Progressive offers insurance specifically for pizza drivers. It may be the case that a particular food business has partnerships with some insurance providers, helping bring down the cost of commercial insurance. However, you can’t rely on your personal insurance policy while driving for work.

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What Happens When You’re in a Car Accident While Delivering Food

If you are involved in an auto accident while delivering food and don’t have the right coverage, your insurance company could deny your claim. A personal insurance policy is a contract, and using your car for business purposes without informing the insurance company breaches that contract. It is made very clear that personal auto policies do not cover the business use of your vehicle. Even attempting to open a claim could result in the termination of your policy, or legal action.

Stuck trying to choose the right coverage? Call State Farm. pic.twitter.com/rwojdNXjFa

— State Farm (@StateFarm) May 7, 2024

If the company you work for offers auto coverage, that additional protection could kick in to cover liability insurance, but it likely won’t cover any physical damage to your personal car. You’ll need to carry collision coverage on your policy to repair your personal car. Make sure you have the right coverage and understand your policy limits.

Best Insurance for Food Delivery Drivers

Whether you are looking for a commercial or a personal auto insurance policy, it’s important to know what auto insurance coverages you need for personal and business use. Every state has certain auto insurance requirements that must be met to drive legally.

While most states require liability coverage, the exact amount of coverage can differ greatly depending on where you live. Check out the chart below to see auto insurance requirements in your state:

Liability Auto Insurance Requirements by State

As you can see, most states require a policy that includes at least $25,000 bodily injury liability per person and $50,000 bodily injury liability per accident. Additional types of coverage include uninsured/underinsured motorist, comprehensive, collision, personal injury protection (PIP). All these types of coverage can be beneficial depending on your situation.

Getting delivery driver insurance quotes can help you to find out if you’ll need additional coverage, or if your policy is good enough if you go through your current company. If your situation has changed and you need delivery driver insurance costs because of a job switch, the best place to start is with your current policy.

Find the best auto insurance rates no matter how much coverage you need by entering your ZIP code below into our comparison tool today.

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