This weekend will mark the arrival of the May Day holiday. Whether for convenience, cost savings, or taking turns driving to avoid fatigue, it’s no longer uncommon for friends or even online acquaintances to choose ride-sharing for commuting or traveling. However, industry insiders warn that while ride-sharing is convenient and simple, it comes with many potential risks—especially if a traffic accident occurs. Ride-sharers (passengers) may not be covered by insurance. To avoid disputes after an accident and ensure safety for both drivers and passengers, it is recommended that both parties purchase individual accident insurance before setting off, as a precaution.
Risks Hidden in Ride-Sharing Trips
Reporters noticed on a certain website yesterday that the number of ride-share posts from citizens has recently surged, and there have been plenty of responses as well.
Netizen Ms. Liu posted, “I’m driving to Xiapu, Fujian on my own on April 29th, planning to return on May 1st. Currently, there’s one other person joining, in a Toyota commercial van. I’m gathering 23 more travelers—interested parties please contact me…” Following her post, several netizens responded that they would like to join. However, one user named “Walk-not-Ride” commented that although they were interested, they decided not to participate. “Ride-sharing is not bad, but I’ve personally witnessed a ride-share accident on the road before. The aftermath was very complicated, and the insurance company refused to compensate.”
In response, insurance industry insiders explained that due to the ability to share tolls and fuel costs, as well as reduce driver fatigue, more and more people are choosing ride-sharing. However, in the current insurance market, ride-sharers are considered vehicle occupants and are not covered under the vehicle’s third-party liability insurance. Additionally, the coverage limit for occupant liability insurance in commercial auto policies is usually quite low, which may not meet the needs of most ride-sharers in the event of an actual accident—often requiring additional out-of-pocket expenses. Furthermore, such trips might be deemed as private car operations or a change in the vehicle’s intended use, leading to claim denials by insurers.
Purchase Insurance to Avoid Risks
Since ride-sharing does carry certain risks, how can ride-sharers mitigate them? The aforementioned industry insider advises that to prevent losses from unexpected incidents during ride-sharing and secure substantial insurance coverage, both drivers and passengers should ideally purchase individual personal accident insurance before their trip as a precaution.
It is understood that currently, accident insurance offered by various insurance companies is mostly annual, with many options for premiums and coverage amounts—ranging from 50 RMB, 100 RMB to 120 RMB—and can provide coverage for accidental death and disability, offering relatively comprehensive protection. However, it is important to note that the scope of coverage varies among different insurers. Some policies explicitly state that compensation is only provided for accidents involving “commercially operated transportation such as airplanes, trains, ships, or buses,” leaving private cars still uncovered. Other types of insurance may cover only death, disability, or burns, but not accidental medical expenses.
Some insurance companies have specifically launched self-drive travel insurance products to address the risks that may arise during holiday self-driving trips or ride-sharing journeys. For example, Zurich Insurance’s “Jiuzhou Companion” self-drive travel insurance product not only covers conventional risks such as accidental injury, acute illness, or medical issues for the insured, but also provides special coverage for the insured’s liability in case of passenger injury or death caused during driving.
Additionally, the aforementioned industry insider also reminds the public that if you choose to reimburse fuel or toll expenses before or after the trip, try to avoid any monetary transactions during the ride-sharing journey to prevent being suspected of “private car operation.” Being classified as using a “non-commercial private vehicle for commercial purposes” due to unauthorized changes in the vehicle’s usage typically results in denial of insurance claims.
