Metromile: Is it a Boon to Rideshare Insurance Issues?


(Brandon Bhangoo) #1

The recent collaboration of Uber with the insurance start-up company Metromile gained quite the spotlight in the News world. That is of course with a good reason for the very fact that insurance issues persist to be one of the major unresolved problems for the drivers. This problem is all the more with the rideshare drivers. As a matter of fact if on any day your personal insurance company finds out that you are a rideshare driver then you are almost doomed as they will instantly drop you off. In fact, the Rideshare Guy’s New Year survey on this issue can vouch for it. The percentage of drivers who have not spilled out the beans to their personal insurance companies about them being an Uber or a Lyft driver totals to around 84%. Well, they obviously cannot be blamed for it. After all, nobody would willingly want to be dropped from their insurance policy.

So, this has created severe unrest in the driver’s community. However, thankfully a few startup insurance companies have and are still popping up in different cities. But, one among them has gained maximum popularity, and that is Metromile.

Importance of rideshare insurance for drivers

You already are aware that if you are a rideshare driver, you will be negated by the personal insurance companies. So, it is definite that you have to find an alternative for insurance coverage. Otherwise even, suppose you have encountered an accident while you were driving for the rideshare company, be sure that your expenses will not be covered under the policies of your personal auto insurance.

The best thing about rideshare insurance is that it has you covered all through the job phases. Whether it is before, after or during rides; when you are online in the app or when you are yet to accept a ride request, not to worry, they have it all covered.

Metromile to the rescue!

To make the best out of the rideshare drivers, the insurance policy of Metromile came into existence and also gained rapid fame. Metromile is an auto insurance company that is usage based and is the best option for rideshare drivers. This insurance company is one of its kind in California. That can be said because never before has an auto insurance company made space for rideshare drivers where they can secure their personal insurance policies. They look out to give solutions to the specific and unique insurance needs of these drivers and to achieve that purpose the company has recently had a merger with Uber. This integrated platform was initially accessible to the WA, Illinois and California Uber drivers. Metromile is still at a wait to open the arena to other transportation network companies like Lyft and Sidecar. At the moment they are on a hold as other than Uber is beyond their present radar.

This one can keep you updated on your miles for tax-related purposes as Metromile is a per-mile insurance company.

How it works:

The company has a telematics device that it puts to use, known as a Metronome. This electronic device gets plugged into the car’s OBD-II (diagnostic) port, and thus data about your driving is tracked and collected. Unlike other insurance companies, Metromile purpose is only to keep track of how much you drive and not ‘how you drive.’ The gadget also reports your location through GPS. The Metromile mobile app not just comes in handy as a brilliant miles tracking mechanism where you can see your car’s present location and keep a tap on past trips but also has other exciting features too.

You have to pay a monthly base fee and a per mile rate. So basically the more you drive, the more expensive your policy becomes. The only thing that is best is that Metronome is not concerned if you are a rideshare driver. But, can you afford to double the premium just on that account? That is for you to decide!

Get to know the policy compare!

Take for instance that go 1000 miles per month on non-rideshare. In that case, the Metromile auto insurance company will lead you to pay double of what you perhaps currently pay. Under Metromile it would roughly be around 687$ for six months. If you hang on to around 162 miles/month, going with Metromile would be worth it and more so if the miles covered is lesser.

Comparing insurance policies is very easy. Many drivers are of the opinion that by switching to the policies offered by Metromile, they are saving money. If you are on to comparing and getting a quote, all you need to do is fill out the information by logging in to their official site. But, remember you must get yourself a quote as an Uber driver only.

Metromile is Uber-only

By the use of a free tracking device Metromile, the insurance company charges the drivers on a per mile basis. But, do know that if you are seeking to enter into an insurance policy with Metromile, you ought to remember that you won’t be covered for the miles that you drive for Lyft or any other transport networking company. This is for the simple reason that as of now Metromile is only in partnership with Uber and it is exclusive. So, that being said it means that on occasions that you are driving for any other TNC like Lyft, you will be accountable to pay double insurance.

Thus, Metromile is a brilliant insurance option provided you only drive for Uber. Otherwise, you will just have an unnecessary burden of a double premium on your shoulder. That surely makes no sense. But since most drivers out there are into services for some TNC’s; it is for you to decide if the risk of an insurance drop off is sufficient for switching to Metromile. Consider the pros and cons of the switch because no matter how much Metromile solves the insurance issue for drivers, your costs also go up at the same time.


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