Review Your Auto Policy Regularly
Your auto insurance policy requires that certain changes, such as additional drivers and garaging location changes be reported to your insurance carrier in a timely manner. It is a violation of your policy to withold any information which may affect your premium INCLUDING driving for a transportation network such as Uber or Lyft (please see below for detailed information). Your auto claim could be denied if the infomation on your policy is innaccurate.
All Licensed Household Members and Regular Operators NEED to be Listed on your Policy
Regardless of whether or not a member of your household will drive your vehicle, your Massachusetts Personal Auto Policy requires that all licensed household members be listed on the driver section of your policy. Your policy also requires that any “Customary Operator”, or “Regular Operator” be listed as well.
Garaging Location
Your premium is rated, in part, based on the garaging location of your vehicle. In most cases, your garaging location is the same as your residence, however, if your vehicle is primarily garaged in a different city or state, the insurance carrier must be notified so they can properly rate your policy. For example, if one of your vehicles is driven primarily by one of your children who are away at school, the garaging address may need to be adjusted.
Do You Have Enough Insurance?
The State of Massachusetts requires that every vehicle registered in the State meets the state’s compulsory insurance limits. These limits are extremely low and may be insufficient to protect you should you suffer a loss.
If you have a lein on your vehicle, your lender will likely require that you carry Collision and Comprehensive coverage.
Many carriers offer additional coverages such as Deductible Rewards and Accident Forgiveness. In most cases, there is an additional premium for these enhancements.
Substitute Transportation is an optional coverage that can be added when your vehicle is insured for physical damage (collision and comp).
Are You Shopping For Insurance Online?
The internet is wonderful tool, but is this the best place to get insurance? You can easily get fast quotes on the internet from a wide variety of insurance companies, but is the quote accurate? Not all carriers will verify your information before quoting your coverage and the rate may not be what you expected after the policy is issued. We will compare your quote to our list of carriers and will do our best to verify the information needed to provide the most accurate quote possible.
Massachusetts Does NOT Allow Out of State Temporary Plates
If you are a Massachusetts resident purchasing a vehicle out of state that requires new plates, the State of Massachusetts does not consider “temporary tags” issued from another state as a legal registration.
Driving For Uber, Lyft, or ANY Transportation Network
Personal auto policies specifically exclude coverage for anyone participating in a ride sharing or delivery service network. Personal auto policies are provided for personal use, and are not designed to cover the risks associated with livery or delivery services.
Many companies today offer an endorsement on your personal auto policy to properly insure the ride-sharing exposure, however, depending on the carrier, delivery service may not be covered under the ride-sharing endorsement. In many cases, the only way to properly cover you is through a Commercial Auto Policy.
According to the Massachusetts personal auto policy, “You must inform us of any changes which may have a material effect on your insurance coverage or premium charges, including the description, ownership, type of usage and place of garaging of your auto and the household members and individuals who customarily operate your auto.” (Massachusetts Automobile Insurance Policy, 2008 Edition page 29)
If you have any questions about the cost to add Transportation Network Coverage onto your policy or convert your policy to a Commercial Auto Policy, please feel free to contact us.
