Why You Are Risking Your Taxi Business Without The Right Insurance Coverage

If you drive a cab or operate a taxi business, you must make you have taxi insurance to cover your customers and pedestrians, in case you or one of your drivers has an accident or causes an injury or property damage. Without it, you will be unable to conduct daily business or earn any money.

What are the legal requirements for taxi cab insurance?

The legal requirements are set by your local Department of Motor Vehicles (DMV) and can vary from state to state, so you need to check it out. You may be required to purchase a surety bond in some states, and you might need workers’ compensation insurance if you have a team of drivers working for you. Whatever you need, you must always have proof of insurance in all vehicles you run as taxis.

What is the difference between taxi cab insurance and auto insurance?

Auto insurance only covers claims resulting from a specific accident and not general claims for the company’s business practice as a whole. Taxi insurance covers theft, vandalism, fire and damage from accidents in which the company’s driver is at fault.

How much will my cab insurance cost?

The cost will depend on the minimum cover that is required legally, so you will need to check with the local DMV. These minimums may change depending on the size of your business. Be sure to check that the minimum level is the total amount and is not split out between personal injury and property damage.

Where can I get cab insurance?

A quick online search will bring up a whole host of insurance companies that provide taxi cab insurance, there are even companies that specialize purely in cab insurance. Check the comparison websites to make sure you are getting the best possible deal.