Ride-sharing has become a popular way for many Ontarians to supplement their income or create a full-time job with the flexibility of working on their own schedule. Uber, one of the most well-known ride-sharing platforms, continues to expand its services across Ontario. But before you start accepting trips, one important question remains: Do you need Uber insurance to drive for Uber in Ontario?
The short answer: Yes—and it’s more nuanced than just having a personal auto policy. In this updated guide, we break down what Uber insurance covers, how it works in Ontario, which companies provide it, and what you need to know to stay legally protected while driving.
What Is Uber Insurance in Ontario?
In 2016, Ontario’s insurance regulator approved coverage options specifically for ride-sharing services, such as Uber. Since then, the insurance landscape has evolved to meet the growing demand for flexible, app-based driving services.
Uber insurance is a commercial auto insurance policy that kicks in when a driver is using the Uber app. This coverage is provided in addition to your personal auto insurance and protects you during various stages of the ride, from accepting a trip request to dropping off a passenger.
How to Become an Uber Driver in Ontario
To drive for Uber in Ontario, you must meet the following requirements:
- Be at least 21 years old
- Hold a valid Ontario G driver’s licence
- Provide proof of eligibility to work in Canada
- Submit a personal auto insurance policy
- Provide valid vehicle registration
- Pass a criminal background check and driver screening
- Own a vehicle that meets Uber’s standards:
- In most cities: 2014 model year or newer
- In Toronto: 2017 model year or newer
- Vehicle must be in good condition
Once approved, you’ll receive a Safety Standards Certificate and can begin driving with Uber.
How Much Do Uber Drivers Make in Ontario?
Uber drivers in Ontario typically earn between $15–$20/hour, depending on location, time of day, and number of completed trips. Lyft drivers (where available) report earnings between $18–$25/hour, especially in urban areas.
Who Provides Uber Insurance in Ontario in 2025?
There are currently two main providers of ride-sharing insurance in Ontario:
1. Economical Insurance (Under Definity Financial)
Economical Insurance is Uber’s official insurance partner in Ontario (as of 2025). This partnership offers automatic commercial auto coverage to all active Uber drivers, including those offering food delivery through Uber Eats.
Coverage includes:
- $2 million third-party liability coverage (while en route or transporting passengers)
- $1 million third-party liability (when logged into the app, waiting for a trip)
- Uninsured/underinsured motorist protection
- Statutory Accident Benefits
- Contingent comprehensive and collision coverage (if you have this on your personal policy, with a $1,000 deductible)
You can access your Certificate of Insurance directly through the Uber driver app.
2. Aviva Insurance (for part-time drivers)
Aviva offers ride-sharing endorsements that extend your personal auto insurance policy to cover occasional ride-sharing.
Eligibility requirements for Aviva ride-sharing coverage:
- Hold a G2 licence or higher
- Minimum of six years of driving experience in Canada or the U.S.
- Drive up to 20 hours per week
- Contracted with a Transportation Network Company (TNC) like Uber or Lyft
- Carry up to seven passengers
- Vehicle must not be used for commercial delivery services
- Vehicle must not be registered as a taxi or limousine
Aviva’s solution is ideal for part-time drivers looking to integrate Uber into their routine without fully commercializing their vehicle.
What types of Uber services are there?
Uber X is one of the most popular Uber ride-sharing services. It is the least expensive service, allowing for seating up to four passengers. Additionally, Uber X provides for the use of smaller vehicles, such as a Honda Accord or Civic, a Toyota Prius, or a Volkswagen Jetta. These vehicles must be a 2001 model or newer. Other Uber service options are:
- UberXL: Usually SUVs (seats up to six passengers).
- Uber Select: Luxury car service (BMWs, Mercedes, and other luxury cars, seats up to four people).
Uber Insurance Coverage: What’s Included?
Uber insurance in Ontario is split into four distinct phases based on your activity in the app:
| Phase | Status | Who Covers You | Coverage |
|---|---|---|---|
| 0 | App is off | Your personal auto policy | Standard coverage only |
| 1 | App is on, waiting for request | Uber (Economical Insurance) | $1M liability + accident benefits |
| 2 | Ride accepted, en route to pick up | Uber (Economical Insurance) | $2M liability + accident benefits |
| 3 | Passenger in car | Uber (Economical Insurance) | $2M liability + accident benefits |
What About Lyft Insurance in Ontario?
Lyft also provides commercial auto insurance to its drivers through Aviva Canada at no additional cost. Coverage is similar to Uber and follows the same 3-period model:
- Period 1 – App on, no ride accepted
- Period 2 – Ride accepted, en route
- Period 3 – Passenger in the car
Note: Lyft is currently only available in select Ontario cities like Toronto, Ottawa, and Hamilton.
How Much Does Uber Insurance Cost?
The cost of Uber insurance depends on your:
- Age
- Location (urban vs. rural)
- Driving history
- Vehicle type
- Whether you drive full-time or part-time
If you’re using Aviva’s ride-sharing endorsement, expect a small surcharge based on your personal auto premium and hours worked weekly.
Remember: You must inform your insurance provider that you are participating in ride-sharing. Failing to do so could void your policy in the event of an accident.
Do You Need Both Personal and Commercial Insurance?
Yes. Here’s how it works:
- Personal auto insurance covers you when your Uber app is off
- Commercial auto insurance (Uber’s policy) covers you when your app is on and you’re actively accepting or transporting passengers
Uber’s policy from Economical Insurance is built-in, but you still need a valid personal policy in good standing to remain eligible.
Final Thoughts: Stay Covered While Driving for Uber
Ride-sharing can be rewarding and flexible, but insurance coverage is crucial. While Uber’s commercial insurance helps cover you during ride-sharing activities, your personal policy plays an equally important role—especially during downtime between trips.
We can help you:
- Confirm if you qualify for Aviva’s ride-sharing add-on
- Ensure you’re fully covered during all stages of your Uber trips
- Avoid gaps in coverage that could leave you financially exposed
Speak with an isure broker today to ensure your personal auto policy supports your ride-sharing goals.
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