If you are delivering for DoorDash, UberEats, or GrubHub on an electric bike, you are likely operating in a dangerous financial “blind spot.”
Most drivers assume that because they are on a bike—not a car—they don’t need special insurance. They assume their Renters or Homeowners insurance will cover them if their $2,000 e-bike is stolen or if they accidentally hit a pedestrian.
This is almost always false.
In 2025, insurance carriers are cracking down on “Gig Work.” If you are using your e-bike to make money, your personal policy is likely void. Here is exactly why that happens and how to get the right coverage without breaking the bank.
The “Business Use” Exclusion Explained
To understand why your claim might get denied, you have to look at the fine print of your Renters or Homeowners policy.
Almost every personal property policy contains a “Business Use Exclusion.” This clause states that the insurance company will not cover liability or property damage that occurs while the item is being used for “business purposes” or “livery conveyance” (transporting goods or people for a fee).
The Nightmare Scenario: You are delivering a sandwich. You run a red light and clip a pedestrian. The pedestrian sues you for $15,000 in medical bills.
-
DoorDash’s Insurance: Usually only covers cars (auto liability). They rarely offer liability coverage for cyclists.
-
Your Renters Insurance: They investigate, see you were “on the clock” in the app, and cite the “Business Use Exclusion.” Claim Denied.
-
The Result: You are personally liable for the $15,000.
Does DoorDash/Uber Provide Insurance for Cyclists?
This is the most common misconception among new drivers.
-
DoorDash: Provides an “Occupational Accident Policy” (for injuries you sustain) but generally does not provide Third-Party Liability coverage for cyclists. Their excess auto liability policy specifically applies to “motor vehicles.”
-
UberEats: varies by state, but generally focuses coverage on automobile partners.
Note: Always check the specific “Insurance” tab in your driver app, as policies change by state.
The Solution: 3 Ways to Insure Your Delivery E-Bike
If you want to protect your income and your bike, you cannot rely on a standard policy. You have three main options.
1. Simple Bike Insurance (With Business Add-On)
Specialty bicycle insurers are often the easiest route. Companies like Velosurance or Sundays Insurance offer policies specifically for high-end e-bikes.
-
The Trick: You must select the “Business Use” or “Commercial Use” add-on. If you buy a standard policy and don’t check this box, you are back to square one.
-
Cost: Typically $20–$50 per month depending on the value of the bike.
2. Commercial General Liability (For Full-Time Pros)
If you treat your delivery gig as a serious small business (LLC), you might look into a General Liability (GL) policy.
-
This covers you if you cause property damage or bodily injury to others while working.
-
Pros: Very broad coverage.
-
Cons: Expensive and does not cover the theft of your bike (only liability).
3. Personal Liability Umbrella Policy
Some insurers might allow you to add an “endorsement” to your existing homeowners policy for incidental business use.
-
Warning: You must get this in writing from your agent. Do not assume it exists. Ask your agent specifically: “Does this umbrella policy cover liability arising from food delivery on a Class 2 E-bike?”
Class 1 vs. Class 2 vs. Class 3: Why It Matters
Your insurance eligibility often depends on the “Class” of your e-bike.
-
Class 1 & 2 (Max 20mph): Easier to insure as “bicycles.”
-
Class 3 (Max 28mph): Some insurers view these as “motor vehicles” or mopeds.
-
“Out of Class” (Modified E-bikes): If you have modified your bike to go 35mph+, it is effectively an unregistered motorcycle. Almost no insurance company will cover this for delivery work. If you crash a modified Sur-Ron or Talaria while delivering, you are likely on your own.
Summary Checklist for Drivers
Before you start your next shift, protect yourself:
-
Check your current Renters/Homeowners policy. Look for “Business Pursuits” exclusions.
-
Document your bike. Take photos of the serial number and keep your purchase receipt (insurers need this for theft claims).
-
Get a quote for “Commercial Use” bike insurance. It costs less than one day of earnings and protects you from thousands in liability.
Disclaimer: I am not a licensed insurance agent. This article is for informational purposes only. Always read your specific policy documents for coverage details.