If you’re an Amazon Flex driver or considering becoming one, one of the most important things you need to understand is the insurance requirements. Amazon Flex provides some insurance coverage for its drivers, but it’s not comprehensive and it only applies while you’re on a delivery. Let’s dive deeper into what you need to know.
As an Amazon Flex driver, you will need both personal auto insurance and additional coverage that applies while you are delivering packages. Amazon provides its drivers with a commercial auto insurance policy, but it only applies when you’re on a delivery. Therefore, you may need to purchase rideshare coverage or a commercial car insurance policy, depending on your personal auto insurance company’s requirements. Always consult with your insurance provider to ensure you have the appropriate coverage.
What is Amazon Flex?
Amazon Flex is a platform that allows individuals to earn extra money by delivering packages for Amazon using their own vehicles. Launched in 2015, it operates in about 50 U.S. cities. Anyone over 21 with a driver’s license, auto insurance, and at least a midsize sedan can sign up. After clearing a basic background check, drivers in areas with open spots can start picking up and delivering packages. The pay typically ranges from $18 to $25 per hour.
Amazon Flex’s Insurance Policy
Amazon Flex provides insurance coverage for its drivers through its Amazon Commercial Auto Insurance Policy. This policy includes auto liability coverage of $1,000,000, uninsured motorist/under-insured motorist coverage, and contingent comprehensive and collision coverage. However, it’s important to note that Amazon’s insurance coverage is limited and only applies when drivers are delivering for Amazon.
Personal Auto Insurance and Amazon Flex
In addition to Amazon’s coverage, you will need a personal auto insurance policy for when you are off the clock. Some personal car insurance companies may require you to purchase a rideshare add-on or a commercial policy if you drive for a delivery company like Amazon Flex.
The Risks
Amazon Flex drivers face several potential risks and liabilities that may necessitate specific types of insurance. Some of these risks include:
- Auto accidents: While delivering packages, drivers may be involved in accidents that result in damage to their vehicle, other vehicles, or property.
- Injuries to drivers or third parties: Drivers may be injured in accidents or suffer injuries while delivering packages, such as slip-and-fall injuries, dog-bite injuries, and muscle strain injuries.
- Damage to packages: Drivers may be held responsible for damaged packages during delivery.
How to Get the Right Insurance
To ensure you have adequate coverage as an Amazon Flex driver, consider the following options:
- Purchase rideshare coverage from your personal auto insurance company, assuming it covers delivery driving.
- Switch to an insurance company whose rideshare coverage applies to Amazon Flex, such as Zego or Northbridge Insurance.
- Buy a commercial car insurance policy.
Be sure to review your insurance policies and consult with your insurance provider to ensure you have the appropriate coverage while working as an Amazon Flex driver.
Conclusion
In summary, while Amazon provides some insurance coverage for its Flex drivers, it’s not comprehensive. To ensure that you are fully covered, you will need to maintain your personal auto insurance and potentially add rideshare or commercial coverage. It’s essential to discuss your situation with your insurance provider and understand the specific requirements and options available to you.
Frequently Asked Questions
What is the Amazon Commercial Auto Insurance Policy?
The Amazon Commercial Auto Insurance Policy is a specific insurance coverage provided by Amazon for its Flex drivers. This policy includes liability coverage of $1,000,000, uninsured motorist/under-insured motorist coverage, and contingent comprehensive and collision coverage. However, this coverage only applies when drivers are on a delivery for Amazon Flex.
What kind of personal auto insurance do I need for Amazon Flex?
You will need a personal auto insurance policy that covers you when you are not delivering for Amazon. Some insurance companies may require you to purchase a rideshare add-on or a commercial policy if you are driving for a delivery service like Amazon Flex.
What are some risks I may face as an Amazon Flex driver?
Some potential risks include auto accidents that may result in damage to your vehicle, other vehicles, or property; injuries to yourself or third parties; and being held responsible for damaged packages during delivery.
How can I ensure I have the right insurance coverage as an Amazon Flex driver?
You can purchase rideshare coverage from your personal auto insurance company (if it covers delivery driving), switch to an insurance company that offers rideshare coverage for delivery drivers (like Zego or Northbridge Insurance), or buy a commercial car insurance policy. Always consult with your insurance provider to ensure you have the right coverage.
