Like any other job, being a taxi driver comes with its challenges.
You’re dealing with people all the time, travel miles each day, and work on weekends and holidays. Since you’re spending so much time on the road, your risk of getting involved in a car accident is much higher compared to that of an average driver.
According to CBS News, this job has the highest murder rate in the U.S. Crashes and collisions are common, too. In New York City alone, taxis are involved in thousands of accidents per year.
One way to protect yourself, your car, and your passengers is to purchase taxi insurance.
Compared to standard auto insurance, this type of policy offers more coverage. Some plans provide full protection in the event of an accident even where you’re the one to blame.
The price and terms vary among taxi insurance companies. That’s why you need to take the time to research your options and compare multiple quotes. Here’s what you should know about taxi insurance carriers and how to find a policy that meets your needs!
Taxi Insurance Companies Charge Different Rates
Each taxi insurance provider charges different rates. Depending on the company and the desired level of coverage, you can pay anywhere between $5,000 and $10,000 per vehicle annually. Your monthly rates depend on a number of factors, such as:
- Your location
- Your experience
- Your marital status
- Types of services provided
- Driving record
- The make and model of your cab
- The deductible
- The amount of coverage purchased
For example, if you’ve been involved in a car accident at some point, expect to pay higher rates.
Cab drivers who purchase home and taxi insurance from the same provider may be eligible for discounts. Some companies also offer better deals to those who are married as they’re statistically more responsible while on the road.
Their Requirements Vary, Too
Taxi insurance companies may or may not provide coverage for drivers under the age of 25. It all comes down to the provider you choose. Some also don’t accept older vehicles.
Young drivers, for example, are more likely to get involved in motor vehicle crashes.
Just because they have a taxi driver’s license, it doesn’t mean they have the skills and experience to stay safe behind the wheel. Additionally, they tend to be more impulsive and take greater risks — at least from an insurer’s point of view.
Some taxi insurance carriers accept cab drivers of all ages. Others simply say no, regardless of how much coverage you want to purchase or how safe your car is.
If a company declines your application, don’t give up. Keep searching until you find one that’s flexible enough to meet your specific needs.
Some Insurance Carriers Offer Massive Discounts
With the right insurance provider, you’ll not only get a better policy but also save money. Look for taxi insurance companies that offer discounts to cab drivers with a clean driving record, newer cars, or extensive experience.
For example, you could save up to 30% on taxi insurance if you remain claim-free for at least a year. Since not all companies offer these savings, make sure you get multiple quotes from different providers.
Some carriers also provide discounts to cab drivers who bundle their personal car and taxi insurance policies together. Others are willing to charge less if you purchase both taxi and life insurance from the same carrier.
Save Big on Taxi Insurance
As you see, there are plenty of reasons to compare taxi insurance companies and request multiple quotes. You might get better deals, more flexible terms, or greater coverage for less.
With some research, anyone can get cheap but reliable taxi insurance. Contact us now find out how we can help.