Geico Insurance Does Not Cover Damages for an Accident in Which the Driver was Driving for a Food Delivery Company Tucson, AZ VA
So, I suppose I should have known in the first place that Geico is second-rate insurance. It didn't occur to me that there would be a clause as ridiculous as this.
Geico insurance doesn't cover damages that occur while the vehicle is being driven for a delivery service. So, essentially, if you use for vehicle for any type of delivery service, stop immediately. Your car will not be repaired in the case of an accident.
My son, a 19-year-old who was supplementing his income working for Postmates, was involved in a minor accident while on a delivery. He reported the accident to Geico Claims as soon as he got home.
My son is on my insurance policy, which was supposed to save money. I would never have used this insurance had I known about this sort of fine print. It's one of the many dishonest and immoral practices of car insurance companies.
With the claim processed, I was hoping that we would at least be able to use the $500 deductible and get the car repaired, if need be.
In the meantime, my son's car began to have issues. Slowly, over time, it become nearly undrivable.
When I contacted Geico to follow up on the claim, I was told that we didn't have insurance at the time of the accident. This was absolutely not true, as the policy had been in place since a month and a half before the accident.
I called Geico to find out the details and was told that there's exclusion in the contract that states that Geico isn't responsible for damages during food delivery services. This means that anyone working for Postmates, Uber, Uber Eats, Lyft, Door Dash, and any other food delivery or driving service company, will not be able to get their insurance to cover their repairs after an accident.
To be clear on this, almost half of the cars on the road are used for some sort of delivery business. Drivers for these services are typically NOT aware that their insurance will fail to cover them. How many other people are driving right this minute without any idea that their insurance that they pay for isn't doing them any good?
Geico Insurance is likely only one of the insurance companies with this "exclusion" in their policy. Make sure to read your policy in detail, and if you use your vehicle for any sort of delivery service, do not use Geico insurance.
3 Updates & Rebuttals
robert
mineola,United States
Vehicle for hire Exemption
#4UPDATE EX-employee responds
Tue, June 04, 2019
It is standard in all auto policies to have an exemption for a'Vehicle For Hire' or a vehicle being used in a workplace. Do what 99 1/2% of policyholders do Not do, read the policy.
The Dog
United StatesAm I Ever Impressed!
#4Consumer Comment
Fri, May 24, 2019
You're supposed to be the parent, right? You don't even bother to perform due dilegence and check with the insurance company to see what the exclusions are! In fact, when you apply for insurance, they usually ask you if the car is being used for commercial purposes. If you don't know, then you call and ask!
How basic is it to make sure your assets are covered? Of course, it's all their fault because YOU failed, right? You may also wish to learn how to write as a mature adult which means you don't begin sentences with that overworked word "so" which has no contextual meaning in anything you used it!
Finally, you stated your son had several things happen with the car. They are "PROBLEMS" and not another overworked word, "issues". Oh by the way, half the cars on the road are NOT being used for delivery purposes.
Robert
Irvine,California,
United States
Not just GEICO
#4Consumer Comment
Thu, May 23, 2019
This isn't just GEICO. Once someone starts driving for "Commercial" purposes, which includes driving for any of these delivery companies, if they do not inform their insurance company their insurance company will no longer cover them in case of accident. It doesn't matter what Insurance carrier you are talking about, they all have the same exclusions.
Without "Commercial" coverage, any accident is the drivers responsibility to pay. Sadly many people don't know this and just think they are getting "easy money" for doing these deliveries or ride sharing..that is until they get into an accident.
Since it was your son driving for the company, it is unlikely that they would cover him for his damages since he was at fault. It doesn't sound like your son hit someone else or anyone was injured, if so be very thankful your son didn't hit someone else. Not only because it was minor, but because he(YOU) could have been 100% responsible for damages to the other party, and they could have sued you and since your son is on your policy they could have gone after YOUR assets even if he is an "adult". This isn't meant to be rude or mean, but perhaps a bit of a wake-up call into the ramifications.
On a side note...your son is 19 and with an at-fault accident, if by chance they did cover him. His rates(your rates) would have skyrocketed due to the increased risk. So this may be blessing in disguise to keep your rates down.
Good Luck