Rideshare insurance helps close the gap that exists when your Uber or Lyft app is on but you haven’t accepted a ride (often called Period 1). During this waiting period, Uber and Lyft typically provide only limited third‑party liability (commonly $50,000 per person/$100,000 per accident bodily injury and $25,000 property damage), and they usually do not cover physical damage to your car. Once a ride is accepted and through drop‑off, TNC policies generally provide up to $1,000,000 in third‑party liability plus contingent collision and comprehensive if you carry those coverages personally, with a typical $2,500 deductible; UM/UIM and MedPay/PIP vary by state. The Insurance Information Institute and NAIC note that many personal auto policies exclude “driving for hire,” so a rideshare endorsement is often needed to extend your own protections during Period 1. (For more details, check out our Rideshare Insurance Guide.)
The extra cost to fill this gap is usually modest compared with a full policy: independent guides report rideshare endorsements commonly add about $10–$30 per month (roughly 5%–20% of your personal premium), varying by state, insurer, and driver profile (Bankrate; NerdWallet; Forbes Advisor). Example budgets: a $2,000 annual premium with a +10% rideshare load adds ~$200/year; a flat +$25/month adds ~$300/year. Full commercial/livery policies—required in some markets such as New York City’s TLC program—often run roughly $1,500–$3,500+ per year depending on limits and usage (NYC Taxi & Limousine Commission). Very occasional drivers sometimes rely on TNC coverage alone and accept Period‑1 limitations and the higher $2,500 contingent physical‑damage deductibles during active trips (Uber; Lyft).
Nationwide offers a ride‑hailing endorsement that extends select personal coverages while the app is on and you’re waiting for a request, complementing Uber/Lyft trip coverage ($1,000,000 liability; contingent physical damage typically with a $2,500 deductible).
These are the drivers Nationwide targets with its ride‑hailing coverage: people who want their own protections in Period 1 without buying a full commercial policy. Nationwide markets a rideshare endorsement in select states that is designed to close the “app on, no ride accepted” gap; availability and options (including whether app‑based delivery can be included) vary by state—confirm details during quoting on Nationwide’s product pages (Nationwide ride‑hailing coverage; Nationwide Learning Center). This is not a pay‑per‑use toggle product; once a trip is accepted, the TNC policy governs until drop‑off (Uber; Lyft).
Usage‑based insurance (UBI) is now mainstream and growing. Industry analysis counts “tens of millions” of active telematics policies across Europe and North America, with double‑digit growth projected through 2028 as smartphone programs scale and OEM‑connected vehicle data matures (Berg Insight). In the U.S., carriers have heavily promoted UBI amid elevated shopping, and participation continues to rise—benchmarks indicate roughly one‑fifth to about one‑quarter of customers are enrolled depending on segment (TransUnion; J.D. Power; J.D. Power 2025). Telematics programs increasingly use smartphone sensors and OEM data to score behaviors and support pricing and claims, with carriers reporting meaningful loss‑cost segmentation between top and bottom driver cohorts (LexisNexis Risk Solutions). Regulatory momentum like the EU Data Act applying 12 September 2025 is expanding access to connected‑car data with user consent (EU Data Act).
Other insurance giants also support TNC drivers. State Farm and Progressive offer rideshare endorsements that extend select personal coverages when you are logged into a TNC app but haven’t accepted a trip. Progressive additionally promotes options for app‑based delivery coverage in many states; check state‑specific terms at quote (Progressive rideshare). For UBI savings, these carriers also run telematics programs such as Progressive Snapshot and State Farm Drive Safe & Save. What differs most in 2025 are state availability, whether delivery is included, how UM/UIM and MedPay/PIP apply in Period 1, and how deductibles coordinate with TNC coverage; once a ride is accepted, Uber and Lyft policies take over with $1,000,000 liability and contingent physical damage typically carrying a $2,500 deductible (Uber; Lyft).
Rideshare endorsements are widely available; compare state availability, delivery inclusion, Period‑1 protections (liability, comp/collision, MedPay/PIP, UM/UIM), and how deductibles coordinate with TNC policies. In NYC/TLC service, a commercial policy is required.
To do so, Nationwide is partnering with insurtech company Slice Labs, which offers “insurance cloud services” and “on-demand insurance products.” That collaboration reflects a broader market shift toward scaled carrier–insurtech partnerships for telematics, embedded distribution, and analytics; for example, Cambridge Mobile Telematics reports supporting more than 100 million drivers globally, and market programs like Lloyd’s Lab continue to accelerate pilot‑to‑scale adoption (CMT; Lloyd’s Lab). Strategic outlooks emphasize expanding embedded/API distribution and data‑driven underwriting as core insurer priorities (Deloitte; McKinsey).
“This partnership exemplifies our commitment to innovation by leveraging technology to provide rideshare drivers with a flexible and comprehensive insurance product,” said Teresa Scharn, Nationwide’s VP of product development. The on‑demand pilot helped test digital issuance; today, the company publicly markets a rideshare endorsement (not a toggle‑on, pay‑per‑use policy) whose availability and features vary by state (Nationwide ride‑hailing coverage).
The partnership is part of a broader wave of digital and app-based insurance offerings. Leading carriers now deliver mobile FNOL, photo‑based estimates, and instant digital payments, while scaling telematics and AI with stronger governance. J.D. Power links higher satisfaction to journeys completed fully in‑app without channel‑switching, and regulators (NAIC) have issued guidance on AI governance and vendor oversight in insurance software and models (J.D. Power Digital Experience; NAIC AI Model Bulletin; Deloitte 2025 Outlook; McKinsey on genAI).
In Nationwide’s case, the ride‑hailing endorsement is available in select states as of 2025. What we can verify: it is designed to extend personal coverages during Period 1; pricing is individualized and often falls within the typical $10–$30/month add‑on range reported by independent guides; and once a ride is accepted, the TNC policy governs (Nationwide; Nationwide Learning Center; Bankrate; NerdWallet; Uber; Lyft). What we cannot verify publicly: Nationwide does not disclose endorsement‑level adoption, loss ratio, or satisfaction metrics; use brand‑level benchmarks (e.g., J.D. Power customer studies) and NAIC complaint indices only as context, not as product‑specific evidence (J.D. Power; NAIC CIS). Before you buy, map your coverage by app period, confirm UM/UIM and MedPay/PIP treatment in your state, ask whether app‑based delivery can be added, compare the endorsement against a hybrid or commercial policy where required (e.g., NYC TLC), and plan for the TNC’s typical $2,500 contingent physical‑damage deductible during trips (Forbes Advisor; NYC TLC).
