Food delivery drivers have one main job – to get a delivery to its destination quickly and safely. But that doesn’t always happen, so considering food delivery driver insurance is essential.

Grand View Research valued the online food delivery market at $190 billion in 2021, which expected the market to see a compound annual growth rate of almost 11% from 2022 to 2028. 

There are plenty of insurance options to keep delivery drivers safe on the road. Delivery driver insurance will protect drivers if they are involved in an accident on the job.

Key Highlights
  • If you’re using your car to deliver food, you should consider buying delivery driver insurance as additional protection because your policy may not cover you.
  • Restaurants can buy auto insurance to protect themselves if the delivery driver gets in a car accident while driving a personal vehicle.
  • You can be covered for both damages to your vehicle and liability insurance if you have a commercial driver policy.
Written by:
Geoff Williams
Contributing Researcher
Geoff Williams is a freelance journalist and author in Loveland, Ohio. He has been writing about insurance and personal finance since the mid-2000s. His work has appeared in numerous publications, including Life magazine, Ladies’ Home Journal, The Washington Post, CNNMoney, Entrepreneur, and U.S. News & World Report.
Edited by:
Laura Longero
Executive Editor
Laura is an award-winning editor with experience in content and communications covering auto insurance and personal finance. She has written for several media outlets, including the USA Today Network. She most recently worked in the public sector for the Nevada Department of Transportation.
Reviewed by:
Matthew R. Auer
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Industry Expert
Dr. Auer, an expert on how climate change challenges the way insurers model risk, is arch professor of public and international affairs and full professor of public administration and policy at University of Georgia. His research focuses on the politics of decision-making in the arenas of environmental protection, energy policy, and forest policy. His recent research considers social media as a space for influencing users’ perspectives of environmental risks.

What is delivery driver car insurance?

Delivery driver insurance is a type of car insurance that protects you while working as a food delivery driver. Technically, delivery driver insurance is a rideshare endorsement that you add to a standard car insurance policy.

Most personal auto policies will not cover losses incurred while working. Therefore, delivery drivers need to get this insurance because not having one could result in severe liability for the individual providing food delivery and their employer.

Proper car insurance protects your vehicle and yourself against unforeseen incidents during work hours.

Who needs food delivery driver insurance?

Insurers know that many delivery drivers work for companies like Uber, Lyft, Grubhub and DoorDash.

Your insurer probably offers coverage for delivering passengers or food under an endorsement. If your insurer doesn’t call it delivery driver insurance, they may refer to it as rideshare insurance coverage. So, if you deliver food or folks, you must add the rideshare endorsement to your policy.

Do delivery drivers need special car insurance?

You want to alert your insurer that you work for a rideshare or food delivery company. Your rates may or may not go up if this is a side gig, but you don’t know what you don’t know. Call your insurer, or, if you’re looking for a new policy, ask your agent or contact customer service before you make the switch.

Auto insurance doesn’t cover commercial use of your vehicle

If you don’t have delivery driver insurance and haven’t checked to make sure you’re adequately insured, you may find out the hard way that you aren’t covered under your personal auto insurance policy.

You often need a business use endorsement on your car insurance policy. Making deliveries with your car is considered a business, not personal. Business-use coverage protects drivers who use their vehicles to deliver packages or other items aside from food.

Car insurance companies charge higher rates for business use because they deem it more high-risk than personal use. Delivery drivers are more likely to get into accidents and file claims. But without it, you could be responsible for paying for repairs and medical bills out of pocket if you have an accident.

Suppose you use your car to make deliveries and get paid for it. In that case, your accident claim will likely be denied unless you notify your insurance company beforehand and get the proper coverage.

What if I’m driving a company vehicle?

If you’re driving a company-owned vehicle, the restaurant is liable for an accident. However, all the violations still accrue to your own driver’s license. So, jump in and drive—carefully.

Restaurants can purchase auto insurance to protect the business from liability if their delivery driver is involved in an accident while driving a personal vehicle. While this type of insurance covers the business from liability, it doesn’t cover the cost of damages to the vehicle or medical bills.

Do I need rideshare insurance?

Driving your own vehicle requires questions from your insurance company and prospective employers. Due to the dramatically increased risks, most insurance companies won’t cover delivery drivers under a personal insurance policy.

Under ordinary circumstances, this would mean contacting your insurer to get business-use coverage. In some cases, the business you work for may offer car insurance when making deliveries, which you can get in addition to your primary coverage.

According to Progressive, many personal auto policies will not cover losses while using your vehicle to deliver for a fee. Without this insurance, you could be held personally responsible for an auto accident while working.

Do delivery services provide insurance coverage for drivers?

Some companies, such as Uber Eats and Amazon Flex, offer coverage during deliveries for their drivers, but this largely depends on the company. If you’re driving for a small, local restaurant, it’s doubtful the restaurant’s owners have purchased driver coverage.

Can you use personal car insurance to deliver food?

You cannot use your personal car insurance unless your car insurance has a special provision for delivery driver coverage.

Personal auto insurance policies do not cover individuals for any business use, including food or pizza delivery. If you’re in an accident while on the job or someone else hits your car, it’s up to you and your provider whether they’ll pay or refuse all claims.

Usually, insurers won’t pay out on business claims if they come from a person’s private policy.

If a delivery driver has an accident, whose insurance covers it?

The driver’s policy is then tested, which may fail if the driver has gone for the cheapest state-minimum liability policy. Even a modest fender-bender can result in insurance claims that easily exceed limits as low as $15,000 per injured person and $5,000 in property damage.

“Victims are entitled to recovery from anyone who is negligent,” says attorney Bradford H. Bernstein of New York. “In most instances, it is preferable to put the claim in through the employer, but if they are not insured, a claim would be put in against the driver.”

Tip iconCase study: Underinsured drivers

An uninsured or underinsured employer can spell real trouble for a delivery driver.

In one lawsuit, attorney Thomas Ryan, Esq., of Cleveland, represented a woman rear-ended by a delivery driver reaching for his dropped phone. Her injuries were substantial, and the pizzeria had coverage limits of only $25,000. This amount didn’t cover the cost of her injuries. She eventually settled with the pizzeria.

A settlement with the business doesn’t necessarily leave the driver in the clear.

How do you find the right auto insurance as a delivery driver?

In reality, you need more liability insurance protection than the state-minimum requirements provide. Ideally, purchase 100/300/100 coverage limits—$100,000 for bodily injuries per person, up to $300,000 per accident, and property damage coverage of $100,000.

How can you protect yourself? First, ask your employer and personal insurance company about their coverages and exclusions.

“If you plan on using a personal or family vehicle to deliver pizza, then make sure to check your insurance policy for exclusions,” Ryan says. “I would also check the employment agreement with the pizza company. There should be a specific provision in the employment agreement regarding whose vehicle will be used and/or who will be liable in the event of an accident.”

Tip iconTip

The only sure way to be covered for damages to your car and liability insurance is to purchase a commercial driver policy. These policies are more expensive than personal policies but will provide the protection you need.

What are the types of delivery driver insurance?

Insurance providers wouldn’t let people use their car insurance policies for work-related driving because it might cost them more if an accident or damage is incurred while working. But if you want to protect your vehicle and yourself, it would be wise to invest in business coverage.

Here are some of the delivery driver car insurance options to opt for:

Business-use auto insurance

A business-use auto insurance policy is designed for people who use their car for specific and limited business purposes. If you are involved in a collision that is your fault, the insurance company will take care of everything. Your provider will be there to ensure that your claim is processed as smoothly and quickly as possible. They will help handle any damages or provide rental cars if they are available on your policy.

Commercial policy

A commercial policy may cost slightly more than a personal auto insurance policy. The price will also depend on your situation and your car type. But with commercial policy, you can rest easy knowing any incident will be covered.

Personal auto insurance

Before you use your personal vehicle for food delivery, make sure you have proper coverage. If you’re at fault in an accident without the right amount of coverage, you must pay for the damages out of pocket.

Car insurance through your employer

If you have insurance through your ridesharing company, they will cover you in case of an accident within the policy limits. But if any damage exceeds their policy, you must pay for those expenses.

How much does delivery driver insurance cost?

It varies. Adding rideshare coverage will increase your insurance rates by 15% to 20%. You could also get commercial auto coverage in addition to personal coverage.

Does being a delivery driver increase insurance rates?

Delivery insurance can be a costly addition to your average car insurance. The cost will depend on your delivery type, the provider, and the type of coverage (business use endorsement or rideshare/delivery policy).

How much you pay depends on many factors – are you delivering somewhere in a big city or a rural town? Are you a 17-year-old looking for delivery driver insurance or a 49-year-old? You’ll pay more if you’re younger and working in a bigger city with higher auto theft rates.

What about pizza delivery driver car insurance?

Some policies will cover delivery travel if the job is part-time and the policy is coded to include business use. For instance, Progressive offers pizza delivery insurance — commercial vehicle insurance designed to protect you and your vehicle while working as a pizza or food delivery driver.

Expert tips for teen delivery driver car insurance

Parents should be cautious about allowing a child to use a family vehicle for food delivery insurance. Even with a commercial policy, the car owner can be looked to for compensation once damages exceed the policy limits. A parent may want to place the car in the child’s name on a separate policy.

However, parents should check state liability laws to see if they could still be responsible for a child’s actions. If the child lives at home and is listed on the parent’s tax returns as a dependent, the parents could be liable even if the car is in the child’s name.

Parents of a teen who delivers food may also consider an umbrella insurance policy for increased protection against liability.

What to do if you’re in an accident

If you get into an accident while on the job, there are a few things you’ll need to do. Move your vehicle out of traffic, check for injuries, call the police, exchange information with other drivers, document the accident scene and any injuries or damage, file a claim with your insurance company and get medical treatment if necessary.

The bottom line

Delivery driver insurance is a necessary expense if you drive your own car to deliver food. If you get into an accident while delivering food and don’t have delivery driver insurance, your insurance company could reject your claim because you’re using your vehicle for business purposes.

Make sure to shop your policy every six months and update your insurer when your needs change, such as adding a rideshare endorsement to your policy.

Resources & Methodology


CNN. “Pizza has a delivery problem.” Accessed March 2024.

Progressive website. “Pizza Delivery Insurance.” Accessed March 2024

Grand View Research. “Online Food Delivery Market Size, Share & Trends Analysis Report By Type (Platform To Consumer Delivery, Restaurant To Consumer Delivery), By Region, And Segment Forecasts, 2022 – 2028.” Accessed March 2024.

Laura Longero

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Laura Longero

Executive Editor

Laura is an award-winning editor with experience in content and communications covering auto insurance and personal finance. She has written for several media outlets, including the USA Today Network. She most recently worked in the public sector for the Nevada Department of Transportation.

John McCormick

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John McCormick

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John is the editorial director for, and Before joining QuinStreet, John was a deputy editor at The Wall Street Journal and had been an editor and reporter at a number of other media outlets where he covered insurance, personal finance, and technology.

Leslie Kasperowicz

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Leslie Kasperowicz

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Leslie Kasperowicz is an insurance educator and content creation professional with nearly two decades of experience first directly in the insurance industry at Farmers Insurance and then as a writer, researcher, and educator for insurance shoppers writing for sites like and and managing content, now at

Nupur Gambhir

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Nupur Gambhir

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Contributing Researcher

Geoff Williams is a freelance journalist and author in Loveland, Ohio. He has been writing about insurance and personal finance since the mid-2000s. His work has appeared in numerous publications, including Life magazine, Ladies’ Home Journal, The Washington Post, CNNMoney, Entrepreneur, and U.S. News & World Report.