If you drive for Uber or Lyft in Tennessee, you must meet specific insurance requirements that apply once you activate the rideshare app. These requirements go beyond Tennessee’s standard personal auto insurance minimums.
This guide explains Tennessee’s legal coverage thresholds, how insurance changes during each rideshare period, and how to remain compliant.
For a full overview of rideshare insurance structure in the state, visit Rideshare Insurance in Tennessee.
Tennessee Minimum Personal Auto Insurance Requirements
Before driving for any rideshare platform, Tennessee law requires drivers to carry at least:
- $25,000 bodily injury per person
- $50,000 bodily injury per accident
- $25,000 property damage per accident
These limits apply when your vehicle is being used strictly for personal purposes.
Tennessee Rideshare Insurance Periods
Tennessee follows the standard three-period rideshare insurance structure.
Period 1 – App On, Waiting for a Ride Request
While logged into the rideshare app and waiting for a ride request, the following minimum liability coverage applies:
- $50,000 bodily injury per person
- $100,000 bodily injury per accident
- $25,000 property damage
This coverage is generally provided by the rideshare company but may be secondary depending on your personal insurer’s policy terms.
Period 2 – Ride Accepted, En Route to Passenger
After accepting a ride request, liability coverage increases to:
- $1,000,000 third-party liability coverage
This higher limit remains active throughout the trip.
Period 3 – Passenger in Vehicle
During an active ride, the $1,000,000 liability coverage continues to apply.
Uninsured and underinsured motorist coverage may also apply depending on platform policy structure.
Do You Need a Rideshare Endorsement in Tennessee?
In most cases, yes.
Many personal auto insurers exclude coverage when the app is on. A rideshare endorsement helps prevent coverage gaps during Period 1 and reduces the risk of claim denial.
Learn how Uber’s coverage works in Uber insurance coverage in Tennessee and how Lyft structures its policy in Lyft insurance coverage in Tennessee.
Penalties for Non-Compliance
Driving without proper insurance while operating as a rideshare driver in Tennessee may result in:
- License suspension
- Vehicle registration suspension
- Fines
- Personal liability for accident damages
Maintaining compliant coverage protects both your legal standing and your financial stability.