Rideshare Insurance in Arizona (2025)

You’re considered an independent contractor as soon as you switch on a ridesharing app, and that means you need coverage beyond your personal car insurance.1 The good news is that Uber and Lyft offer standard coverage that meets Arizona insurance requirements.2

The bad news is this coverage may not offer enough protection in certain cases, such as when you don’t have any passengers in your car. It may also jeopardize your personal auto policy in some cases.3

Here, you’ll learn how rideshare coverage works and how you can ensure you have the protection you need.

Cost of rideshare insurance in Arizona

Drivers who buy rideshare insurance endorsements for their personal auto insurance policies typically pay $262 per month for full coverage, compared to $180 per month without the added protection. One of the best ways to save money on coverage is by shopping around. 

The following companies offer the lowest rates on liability-only coverage with a rideshare endorsement.

Best rideshare insurance companies in Arizona

Learn more about the top three rideshare insurance companies in Arizona and the types of coverage they offer.

Auto-Owners: Best for low rates

Mile Auto: Best for sporadic rideshare drivers

State Farm: Best for quality coverage

Rideshare insurance requirements in Arizona

Arizona Revised Statute 28-4038 requires all drivers working for a transportation network company (TNC) to carry a certain amount of coverage for each phase of the ride they’re in.5 You can see the requirements below, along with who’s responsible for the coverage, since it’s not always a straightforward answer like with standard auto insurance policies.

• Phase 1: The app is on, but you haven’t yet accepted a ride. Arizona law requires you to carry a 25/50/20 policy at a minimum. Uber and Lyft offer a free 50/100/25 liability policy, but you’ll need to file a claim with your personal insurance first.

• Phase 2: You’ve accepted a ride request and are en route to pick up your passengers. Arizona law requires you to carry at least $250,000 of liability coverage and uninsured motorist coverage. Uber and Lyft drivers get $1 million in rideshare coverage.

• Phase 3: You currently have people in your vehicle. Arizona’s laws require your liability insurance coverage to increase up to a minimum of $1 million. Uber’s and Lyft’s driver insurance continues, subject to you filing a claim with your personal auto insurance policy first.

As you can see, each rideshare service has crafted insurance policies offering adequate coverage to meet state minimum requirements, and the coverage is free for all drivers while they’re using the rideshare app. But these policies have several downsides, including:

• You have no control over the deductibles and coverage amounts, which may not be the best choice for your personal situation.

• You may not have protection against damage to your own car or medical bills if you’re injured in an at-fault accident.

• You have to file claims with your personal auto insurance policy first — even if they don’t offer rideshare coverage — which can raise your rates and even lead to policy cancellations.

That’s why insurance experts recommend that rideshare drivers purchase a rideshare endorsement on their personal car insurance policy. These policies typically cover you during Phase 1 of the rideshare cycle, but some companies extend some types of coverage options into Phases 2 and 3.

Requirements to drive for Uber and Lyft in Arizona

The requirements to drive for Uber and Lyft vary by city, not state, so you might have different hoops to jump through in Phoenix than in Tucson. You’ll need to sign up as a driver to learn if you’re eligible, but some broad policies apply to everyone, as you’ll see below.

Types of rideshare insurance coverage

Insurance companies frequently offer a rideshare endorsement with the same type of options as a personal auto policy. These include: