Taxi Insurance: Protection for Your Yellow Vehicle

By Rafael Onak, InsuranceAgents.com Staff Writer

Not only are taxis a cheap alternative to owning a car, they also act as our own designated driver after a long night of over-age drinking. At the end of the day, however, a taxi is first and foremost a business, and any legitimate taxi company needs taxi insurance to protect their business. So essentially, taxi insurance is car insurance & business insurance bundled into one option Operating in an industry that results in over two million passengers injured each year, taxi insurance provides taxis with the assurance that they will be protected in case an unfortunate incident occurs. You can save a ton on tax insurance by comparing five quotes right now through our online forms.

Many drivers assume taxi insurance is the same as a standard auto insurance policy, but that is not the case. Taxi insurance is intended to protect the taxi company, the taxi drivers and the company’s assets by providing coverage against liability. Since this type of coverage covers multiple passengers, a policy is typically more expensive than a standard auto insurance policy.  If you're simply a taxi driver, and you want additional coverage while driving, you can still compare car insurance quotes to save on your individual policy. The best way to find out if you need individual coverage as a taxi driver or more coverage as a business owner is to talk to a qualified insurance agent.  Insurance agents go through a rigorous learning process to be able to understand the complexities of insurance, so seeking their help is always advised.  You can search our database of agent to find a local insurance agent near you.

A comprehensive taxi insurance policy provides coverage against:

• Vandalism
• Theft
• Fire and other damages caused by the accident, regardless of who is at fault

Taxi Insurance Requirements

There are certain requirements a taxi company must first meet before even being considered for coverage. While some are self-explanatory, others are a bit obscure:

1. Taxis must function as fare-based while keeping up with maintenance and inspections.
2. Drivers convicted of vehicle manslaughter, possession of a weapon and all drug and alcohol incidents will not be eligible.
3. Drivers under the age of 25 or over the age of 65 will not be eligible.
4. Drivers must have more than two years’ driving experience in the United States and possess a valid driver’s license.

Obtaining taxi insurance can be an overwhelming process, but the rewards far outweigh the risks. Being adequately covered provides you with peace of mind if an accident were to occur. Contact an insurance agent today to obtain taxi insurance as a safety net for your company or use our online forms to compare five quotes quickly.

Published: Thursday 15th October 2009