Lift-Sharing – Are You Covered?

Lift-Sharing – Are You Covered?

You might well be sorely tempted to offer people a lift to show off your new Chrysler turbo but you need to be aware that your insurance policy may not cover you if you’re carrying someone for hire or reward.

In fact, new research from has found that one in ten policies actually exclude cover for lift-sharing and where it is permitted, it’s restricted to social trips and those behind the wheel must not be making any profit from it.

Of course, you will still be able to give your friends a ride even if your cover does not include lift-sharing, but remember that you will only be allowed to ask them to give you something to put towards the petrol and other running costs incurred on the journey.

Whatever you charge must not include an element of profit. If it does, insurers will judge that you are now operating as a passenger service in order to make money, which would invalidate your policy. Remember as well that lift-sharing is not allowed in any vehicle that seats more than eight people.

Another point to bear in mind when considering your insurance policies and what is covered as standard is that if you’re going on holiday, chances are you’re not insured if you use a valet parking service.

Further research has found that 43 per cent of policies actually exclude any damage sustained to a car when it’s in the control of valet parking staff. So if you are planning a trip away and intend to allow someone else to park your car, it might be worth checking your insurance before you hand over the keys.