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Car Insurance For Taxi Drivers

Car Insurance For Taxi Drivers Blog

Do you want to be a taxi driver or find ways to bolster and add to your income by using your car for e-hailing services? You’re all prepared for the intrigue, the uneven tips, and the exciting conversations. Though your license is all squared away, you’re concerned about the proper insurance you need. Whether you’re a commercial taxi driver or an e-hailing driver, you need to carefully note the best car insurance coverage that will suit your needs. I am sure you wouldn’t want to be surprised by a rejected claim after an incident.

What Is Taxi Insurance?

Taxi insurance is a specialist vehicle insurance policy designed to cover cars used for commercial hire. As a taxi driver, you are required by the law to have taxi insurance for you and your vehicle, so comprehensive insurance is crucial to protect your livelihood.

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What Does Taxi Insurance Cover?

Just like every other regular insurance, taxi insurance policy varies between policies and providers. However, the main features often remain the same, except for some specific taxi add-ons. Taxi insurance is intended to cover cars used as a taxi for public and private hire cars. So if you’re an experienced taxi driver or Uber driver, taxi insurance will keep you protected. However, for e-hailing services such as Uber or Grab, you should note that your personal insurance doesn’t stand in for taxi insurance.

Three main types of vehicle insurance available in Malaysia, and these coverage are the same for taxi insurance. Third-Party cover is the minimum required by law and covers all third party liabilities. There is Third Party, Fire & Theft, which provides the same protection as Third Party but with the addition of fire and theft cover. The final cover is Comprehensive Insurance; this offers the same cover as Third Party, Fire & Theft, but includes protection for you and your vehicle. Thus providing the most comprehensive level of coverage.

Do Personal Insurance Policy Covers Grab Or Uber Drivers?

Whether ‘comprehensive’ or ‘third party,’ all personal car insurance policy does not cover happenings that occur during commercial activities. This mainly implies that if you are using your vehicle to generate income either by driving for Grab or other similar services, you can’t make a claim if an accident occurs during the trip. Someone might be thinking of filing a false claim since your insurer is not at the accident scene. Well, an essential piece of advice for such a person: Trying to file false claims with your car insurance provider is a big NO as it can land you in serious trouble. Recall that you must first lodge a police report before making a claim from your car insurance policy. So if you make false claims in your account, such as saying that you were driving your car for personal reasons when you were not, you can probably be fined, jailed – or both! So think twice before making a false claim.

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What Are The Insurance Options For Grab Or Uber Drivers?

The coverage options for an e-hailing driver right now is somewhat limited. There is a considerable gap between the companies’ coverage; for instance, Grab usually only provides personal accident insurance and conventional private car insurance. However, several insurance companies do offer better insurance add-ons for an e-hailing driver. So you definitely need to get an e-hailing add-on for your own protection.

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