Stop Doing Uber Turo Postmates
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- Опубліковано 7 тра 2023
- Stop Doing Uber Turo Postmates
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I tried Uber Eats only once and my Chik-fil-a bag smelled like cigarette smoke... never again.
damn lol. smoke chicken
@@Wilhelm4131 yeah. End Of Days level problem.
I have heard of meals being snacked on by the driver, anything is possible 😂
Sounds tasty
Bastards
Imagine being a bank that’s mad about being taken advantage of when banks literally do that to people all the time.
lol very true
This lol.
But the bank isn’t asking you for a car loan.
@@troxigg true, and yes many people probably overextend themselves with loans they cannot afford. But wouldn’t we all like to be able to buy and afford a decent vehicle, and not fear getting ripped off.
@@rubensepulveda9482 If you can’t afford it then don’t buy it. Want and need are two different things. Bank is only useful for raising credit ratings, business loans and buying assets. Cars are a liability.
I backed into car while doing Doordash & caused $3k in damages. I lied to the insurance when they asked me if I was doing any side gigs at that moment. I also told the person who I hit not to tell them that I was delivering food as they wouldn’t cover him either. If he would’ve, he would’ve been screwed as he was uninsured on a $30k+ car 🙄
based af
Banks got themselves into this by loaning more than a vehicle was worth.
That’s the main issue. Dealership markups, people paying 20-30k mark ups on junk cars like Kia tellurides and Ford Broncos. Cars that people should never be racking up thousands of miles one so quickly. People aren’t ending up 30-40-50k upside down from doing rideshares. It’s from the insane markups that dealers and banks were profiting on for a while. Now that the market is going back to normal and people are upside down, they’re looking for a scapegoat to blame.
With FED rates pinned near 0 for a decade, banks were desperate to get any kind of yield on their money. A bank can't continue to exist if it's only willing to loan MSRP and the guy next door will loan 50% negative equity. One of them will go out of business, and in the moment it's never clear which.
@@rightwingsafetysquad9872 so the real issue is the money and it's value (or lack thereof)
@@rightwingsafetysquad9872 how does loan 50% negative equity work
@@gavnonadoroge3092 If a $50k car is marked up to $60k by the dealer because of shortages or whatever. Taxes and fees make that $65. Buyer puts no money down. The car loses $10k the minute the title is issued. Suddenly you have a $65k loan on a $40k car.
Uber and Lyft should be held accountable for this.
Uber and Lyft are only increasing pricing on customers but paying drivers a smaller percentage than before. They pocket most of the money through the monopolization of the ride-sharing market.
What we need is a cheaper alternative (non-profit?) or more competition in the ride-share market so drivers and delivery drivers can actually make a living.
Uber Eats pays $3 per delivery (sometimes less!). When they tell you the price they will pay you for the delivery (they assume the customer will add a tip which is a joke.) Its like they baked in a mandatory tip just for the driver to make a minimum wage. Tips should always be an extra BONUS and the base pay per trip should be sufficient. They can do that by taking a smaller percentage (I seriously doubt their cost overhead is high. Its just a freaking app). But I doubt their greed will allow that until drivers just quit accepting cheap jobs.
You told me two years ago that doing Uber was a bad idea. I’m glad I listened.
thanks for sharing 😁👍
Good guy Lucky lookin out for us 😎 predicting the future
I did it back in 2018 when pay for drivers was higher, and it still wasn't a good idea. It's basically turning your car into money. Unless you're driving around a beater that's all paid off, it's not worth it.
I knew it was bad when Uber first came out.
@@seanwilliams7655 they didn't pay enough for me to get out of bed 8 years ago. It's a great way to make nothing and have your vehicle a worn out and wrecked pile of garbage in less than a year. The gig economy is a scam.
I worked gig for shipt (grocery shopping and delivery app) back when they first started up in my area (2016/2017). I owned my cars outright that I used for this. The problem was, after a year, I did the math on how much I was spending on maintenance, insurance, and fuel and compared that to how much I made. Even though I was full time and making nearly the most of all the shoppers in my area, I was barely breaking even. The only way I would do this now is if I used one of my $500 auction cars and just drove it till it blew up lol. Even then it would take a couple of months to make it worth it and most of these gig jobs don’t allow older vehicles.
thanks for sharing
Yes, these companies talk about greater efficiencies; what they really mean is the workers will bear all the costs and risks.
I don't think food delivery apps care, they have no reason to. I did Postmates for a bit on my old 1994 Honda Civic. I bought that for $250 in ~may 2019. I delivered pizzas in it and I made my money back on that car in about 2 days. I wish I never sold it.
@@kevinbarry71 And customers paying the jacked up fees. All collected by these middle-man companies.
Just as I suspected!
FYI Postmates was acquired by Uber several years ago. All postmates orders are fulfilled by Uber Eats drivers like regular Uber orders, so no one really drives for Postmates, just Uber, or their only competitor for food, Doordash.
Monopoly
Grubhub is much smaller than Ubereats and Doordash, but they're still in business, right?
Grubhub barely hanging. They'll get gobbled up soon by Eats or doortrash. 😁
@@Standup428 Ubereats and Doordash still have competitors in the grocery shopping segment. There's Shipt, Instacart, and Spark.
Good, Postmates was awful. You make twice as much driving for Uber or DoorDash.
Those companies pray on people doing it under the table. If people do it right and get the right insurance and other coverages, then they will actually make negative money. They will work and owe. The only ones that profit are the companies such as Uber. The workers just wear their cars down and whatever money they make is from the vehicle depreciating and maintenance/repairs.
very true
Uber doesn't even profit themselves. They're only losing money
So true. These gigs econ "jobs" jus don't add up in any way. You just trash your car out and maybe make pennies after all is added up.
I do UberEats on a bicycle. Easy money and my cardio health is incredible.
@@macedaking Now that's a great way to make money and stay healthy!
I did Uber and lift a few years ago in a 08 Sentra, that I bought cheap. I did tell my insurance but given it was a cheaper car it didn’t effect my rates much at all. I got burned out on it after a couple months. Sometimes it worked out good for my long commute home from my day job, to made a couple bucks in wasted commute time. From what I experienced I don’t know how anyone can count on that as a solid income. Some nights you just sit around or waste a lot of time and gas driving to the rides available. You only make money when they are in your car. Glad I don’t have to do that anymore. It isn’t as easy as people think.
thanks for sharing
@josephpatterson980 You have to treat Uber as a side hustle and not a fulltime job, study the peak hours of demand and work only on those hours. For that purpose Uber is ok. But yes as a fulltime job it is a terrible proposition.
I know the internet likes to bag on Wingsofremdemption, but I remember he bought a beater to deliver food in so he wouldn’t put miles on his truck.
A friend of mine drives for Uber and does very well - because of his "territory" is the New Jersey shore - especially in the summer time. There is plenty of demand for taxi-type services when there are tons of tourists and bars. Like anything you decide to do to make money, you have to run the numbers. That should be the first thing you do before you invest in any money-making enterprise, is see if the investment in that idea makes sense. I know no one wants to think of the downside of their great idea, but you have to. I've been involved in my own, or family business since I was 15 years old, so I have first-hand experience in this. Look at the "what could happen if ________ happens?" You have to do that. And... thank you Lucky for explaining how the "other side" operates and makes money - and views their customer. Most of us do not understand how banks, insurance companies, car dealerships, etc make their money, and it makes sense. They have to consider the "what-ifs", like every other business, or they can't exist.
My sister (81) and I (73) do UberEats and are now on our 5th week. We made over $2000 in our 4 weeks. We split the money, pay the gas and we have some good extra $$ besides our retirement funds. We enjoy doing and gets us out of the house. It is definitely part time for us with many of the work day being from 4-8/9 p.m. I drive for Lyft and do all driving and navigating and she does the pick up and deliveries because she is more agile than I am. But I would thing that a person doing it for full time monies would really need to hustle and work long hours and do other platforms like Door Dash or Walmart Spark. We stick to our local area that is very safe and accept only $2 per mile requests. Thankfully my car is paid off but I will try not to put so many miles on it.🤞🤞🤞
As a State Farm sales rep. PLEASE in the state of TX get the TNC endorsement! It's on average $20 a month and will protect you BIG TIME!!
Good pro tip.
What’s TNC?
@@tomaseduardoaguilar1406 I want to say it stands for Transportation Network Company. Basically meaning that you are using your car/vehicle for commercial purposes.
@@tomaseduardoaguilar1406 transportation network company, aka Uber and Lyft and Amazon and…
Is this the same in Arizona?
I’m an insurance adjuster and the amount of people who have their claims denied due to not disclosing they are doing these ride shares or delivering is mind blowing. I feel bad, but also I speak to agents and they are asking the insured if they are doing these things and they always say no, so even if it cost more, just let the insurance company know!
thanks for sharing i think its important for people to her from someone like yourself 👍
You can get away with lying about delivering. No one can prove otherwise unless you admit to it. Might be harder to do with an Uber passenger in the car.
I don't blame people for not disclosing. You guys have been price gouging the hell out of people. My small business's commercial auto went up 500% from one year to the next, without ever having any incidents or claims. I don't drive for Uber or Lyft. You guys charge as much as 30% of a small businesses revenue. Revenue, not net income. We have to insure every single vehicle and pay $30,000 or more per driver. You guys are screwing small businesses because they have a little power, unlike companies like Uber.
Allstate charged me $20/mo. for rideshare coverage. Progressive only charged me $5. It's ridiculous not to have it!
I did disclose this to my insurance for an extra fee and they still denied my claim for damage with injuries. Allstate never more.
Good points and warning! I own a small, family-owned business. I've seen friends try to "game" their insurance companies and not declaring their vehicle was being used commercially. One got in a BAD wreck - totaled one car, damaged another and did almost $35k worth of damage to their truck. The insurance covered the other drivers, but told my friend to pound sand because he didn't disclose the commercial use. His truck was 2 years old......on a 5 year note! Yeah - he's gonna be paying for it for a while!
The car salesman at the dealership just wants to make the sale. I have even told them that I was buying cars for Turo and they said that was cool and they even asked me how many cars I had. But they told me nothing about there being something in the contract About not using the vehicle for rideshare even though there was something in the contract that said that.
Food Delivery only works when it's a direct customer/driver relationship. Text and Cash. When I was in Mexico, only moped riders really did that and made profits. Dangerous risky work but so is everything else these days.
very true $$$$
I have a 14 car turo fleet and I’ve noticed the payment amount on claims has dwindled. They are intentionally leaving obvious items off of the estimate and stating that a body shop supplemental needs to be turned in for them. I run a low deductible and collect on some things that I don’t intend to fix. We are entitled to an accurate estimate from the rip before a body shop is involved. I also have a lot of valid smoking and cleaning fees being declined for nonsensical reasons. The game is getting wacky.
I do turo and noticed the same.
I’ve always said that I’m nervous about these Uber+ cars with deferred maintenance. I think it should be required to report those care on car fax
I never thought about this. Thank you!!
Great advice
Thank you
Man, i wish i had this channel growing up. Thank you for all this information!
thanks for watching
As a small business owner &commercial truck driver I appreciate the video for you explaining things to people if I try to explain this to many drivers that I know that do this. And they tell me I'm crazy and
i currently still do uber in the mornings. in MY experience its been very good money and has been a blessing. it's starting to get very saturated now. i really started hard when the pandemic started and i managed to save 20k up.. i have an 09 prius i bought for 3k.. ive put like 150kish+ ish miles on it.. its almost 400k.. but ive already done everything to it, motor, hybrid battery. both in total probably cost me like 2k. Although I was and still am taking a risk doing it, its been a huge blessing to me. im probably going to pull back and focus on a career now that i have the peace of mind of a financial cushion. in terms of people doing this with a nice car, i feel bad for them.. you arent making money, mybe when it was hot during the pandemic but rides are paying less and theres a lot more competition now.
I currently only drive in the mornings too. Idk what's the alternative if we shouldn't do rideshare or deliveries. I'd seriously love to hear it and I'm willing to try.
@@mikey7267 as far as insurance goes.. if the numbers make sense it might still be good. I can make an easy 50-100 on Uber before work in the mornings... That's an extra 2k a month if I'm truly dedicated, even with gas depreciation and maintenance even at 1200. It's all on your money habits. My coworker lives like he's broke, I do too, but he's definitely harder on it. He's been doing Uber and Lyft since day 1 and he has 100k saved up. But that can be done with anything. My mentality is I'd rather suffer now and live like I'm broke while I'm young and able than to suffer when I'm older for it.
I use to do Uber and Lyft driving from 2016 through 2021 as a side job. After the mileage deduction, it wasn’t worth the amount of time put into it. Most years I broke even after Uber or Lyft took their cut and my mileage deduction. In 2020 and 2021, I paid taxes on the little bit left over income thanks to tips by people and incentives paid by either Uber or Lyft.
thanks for sharing
Also, trust me…If your insurance company finds out you’re doing rideshare, you have only personal insurance and they find out, they’ll drop you unless you get adequate insurance(happened to me). If you get in an accident and you’re at fault without the appropriate insurance, then they’ll drop you in a heartbeat and your repairs aren’t covered(heard about this happening to a Pizza Hut delivery driver who ran a stop sign causing an accident).
The whole rideshare business is based on the fact that most people underestimate the cost of driving their own cars--by a lot. If you think you're driving for less than 40 cents a mile while driving a car meeting Uber's age standards and paying someone else to turn wrenches, you're kidding yourself.
@@Thisoldhiker$0.40 @ mi ? More like $0.55 @ mi for a car an $0.75 for a truck
@@ThisoldhikerYeah impossible to run any vehicle that is newer and you have a loan on for less then 50 cent a mile
Lyft driver slowly drive over my daughters foot, one Uber driver told me he had been drinking prior to picking me up and another was high as a kite! I’ve had some very strange experiences with rideshare. 😬
wow
I bet you don’t leave your foot under a vehicle again 🥴
This is why Waymo is the only ride hailing service I will use.
Family member was working for the Post Office as a rural delivery driver using her own van. The Post Office reimburses you for that so it is not like you're losing money. She decided to save the $20 a month, got into an accident and the insurance company found out and told her to eff off.
Thanks Lucky. Appreciate you putting out this information
thanks for watching 😁👍
I notice alot of the cars on offerup and marketplace have a ton of miles on them. I used to see cars with 100k-150k but now I'm seeing 200k plus regularly. I figure most are being used for some kind of side hustle like uber. Crazy times
they are driving the hell out of them during the pandemic
Most of my cars had over 200k, but they were 20-30 year old auction cars.
Nothing but the hard cold truth. That's what we need more of. Thank you.
Alot of these dudes lease the car than roll back the miles when it's time to return...than start all over again.
I did a video on that. 1 out 10 luxury car miles where off. and exotic cars its 1 out of 5
Thanks lucky this was informative for me
Excellent video. I was thinking, is that legal...wow. My friend worked for GM and he said they always had issues with drivers renting the Escalade as a limo. And I'm waiting to buy a vehicle but scroll right past all of the crazy 3-yr, 80k mile vehicles i know were used for a side hustle.
thanks for watching
I did 30k a year in mileage when I delivered pizzas, but I did it in $500 cars I bought at auction, usually with over 200,000 miles on them. They had no value left to lose and I maintained them very well (you need to take care of your equipment if you expect your equipment to take care of you. Purchase price doesn't matter, if you skip out on maintenance and the car blows up, it's 100% YOUR fault).
@@SkylineFTW97 So not referring to $500 vehicles. And everyone has their own preference.
Thank you for this educational videos
imagine someone renting a Turo car to drive Uber 😂
That would create an infinite loop in the matrix lol
I rented from Turbo a few times to drive for Lime while my car was in the shop.
Happens alot
That's against Turo policies
People do it. Turo required you leave the registration in the car, so yea people will do DoorDash & if Uber accepts other peoples registration then that person will do Uber.
I use my 96 for gig work. Its paid off. I do not use my other car for gig work because its just too nice to ruin by doing deliveries. Its paid off too. Might stop gig work and just get 2nd part time w2 so i dont run into this issue when purchasing another car with a loan. Gig work pay currently is dead for the summer anyway. Thank you for making this video. I appreciate it.
Just an FYI for those taking the risk: Your insurance company can snitch you out for using personal vehicle for business use. You will have higher insurance rates and will essentially be committing fraud. Ah i see Lucky is getting to this part now.
thanks for sharing 😁👍. insurance is a big part
I'm not in the gig economy but I thought this was very informative and solid advice. I'm sure that brokers who cover livery or taxi fleets could help. Something I've always wondered; does any OEM have a model geared for rideshare applications? Years ago, they sold taxi packages but I've always thought that Toyota should offer a Prius with stronger upholstery, rubber floor mats and extra charging ports for these Uber drivers.
Great info. I hope those that would benefit from your insights, will act sooner rather than later (or too late).
thanks 😁👍
Really good advice!
Great info!
Leases, it's not your car, it's their car you rent from them. So they can take it back if you violate the lease. You should never think of a lease as "your car".
It seems the main issue here isn’t people doing rideshare with the cars. It’s people doing rideshare, depreciating the value of the car faster, while NOT making payments. And I could see why the banks/leading companies are angry about this. Pay your bills people..
Like button has been squeezed my friend.👍
Nice Pepsi dial, I’ve been waiting for one to show up at my AD.
watches are going down slowly hoping to get a newer one soon
Also make sure to read fine print on the lending agreement. Some of them specifically prohibit this in addition to insurance, and you might face legal issues (get sued) if lender finds out.
Why have it in fine print if they don’t want people to do it. It should be in bold letters in the front and the first line.
The main issue was that people were getting these cars with no intent to pay these loans and then tanking the value of the cars with excess miles and wear n tear. Doing rideshare in if itself and using those funds to pay of your loans the right way isn’t the issue and you won’t get into trouble for that. The lenders do have a right to be angry and those who took advantage, and they deserve to get sued and wages garnished.
Even more reason to say no to car loans. 😊
I'm glad you're talking about the insurance side of this. I got detailed info from my insurance company as my son wanted to use my car to do uber eats. So it's not another $20 or $30 a month, it's $500 a month. What happens if there's a claim? If the car was used for any commercial purposes....Uber, Lyft, Door Dash etc, their max payment is the state minimum, which in my state is $5000. You might say "Oh, my car's not worth that, so who cares?". Well, that includes liability so if you hit someone, you're on the hook to fix their car and if they are injured, you're on the hook for their medical bills. The insurance will pay no more than $5k for the entire accident. And I believe them because our car was in an accident and the first thing the agent asked was "Was the car used for uber or lyft or any ride sharing or delivery?". The accident doesn't have to happen while you're driving for uber or lyft......if you drove for them at all, you're screwed.
The IRS mileage rate is currently 63.5 cents per mile and they didn't pull that number out of their butt (and there's a reason why the typical taxi fare is 4-5 times that number). If you make less than that doing Uber/Lyft/Doordash/etc. you are losing money on your gig. Your average gig-worker delivery and rideshare driver is not making a profit net of expenses. At best, one of those gigs can be thought of as a way to covert your car's value into short-term cash.
65.5 cents in 2023 it went up 2 cents
Absolutely. People are DUMB if they think gas is their only expense doing these gigs.
@@mph5896 They think they're saving money by putting off maintenance. As an auto mechanic who's seen these cars inches away from throwing a rod, I can tell you they're not. They're gonna need an engine and kill their car's resale value in one fell swoop.
@@SkylineFTW97 20 years ago I delivered pizza. We ran beater $800 cars and fixed them ourselves. That was the only way to make it sustainable. I tossed a trans, installed a used one in and was back and going again. Pad slapped brakes, used tires. 😆
@@mph5896 Used tires are more expensive long term if you're using the same car. Plus they're highly likely to blow out on you (I've had s couple do that on me). For something like the 1994 Honda Civic I drove, a new set of good tires is maybe $500 and will last years instead of months. I never just did a pad slap either, I either had the rotors turned or replaced them (later I started working at a garage, so I could turn them myself at that point). To me, beater just means I don't care how it looks. I will never cut corners on maintenance.
Great. Info
Many. Thx
thanks for watching
Hey Lucky, Big fan, Hope you're feeling great and healthy and hoping to buy a car from you one day lol Been doing rideshare for 8 years now, and you're absolutely right you have to be transparent with your lender and insurance, Right now my lender is Toyota finance, they were okay with me having a rideshare background while purchasing a 2013 Toyota sienna, they just needed to see the last 6 months of bank statements of proof of income, and State farm has a rideshare policy that only cost an extra 30 bucks sometimes less a month which is not bad in my opinion. I'm in the Chicago market, it's funny you say Lincoln navigator because that's the vehicle I want to become a professional chauffeur driver, I obtained my chauffeur license, I just need the car now lol, especially for Uber black, and other limo companies.
State Farm and Progressive both cover app work, BUT, the premiums have gone up significantly in the past 12-18 months.
One of the reasons why I am slowly, deciding just to stick with DoorDash is so that I can stay within a zone close to my home not to rake up Miles on lowball five $ and six dollar Uber rides that I keep seeing and get thrown at me.
I’m also lucky that I live in Austin Texas and not a big city like Los Angeles or Houston or Dallas where they are just so large that they probably rake up a lot more miles driving then people do in Austin.
I would say about once or twice a day I would get along ride with someone wants to be taken from the suburbs where I live into the city but then once I’m in the city, I get a lot of short rides which I love because it’s the tourists and it’s always people that tip!
And sometimes I’d rather do a lot of short rides within the downtown area then to constantly be stuck with a long rides even the long rides were you make your money because you end up getting stuck somewhere else in a different part of town that may not be as busy.
At least staying within a zone it’s not that bad if I’m only working Monday through Friday, lunch hours about 10am-2pm until I have to go pick up my kid
I will say this though when I got my car in 2019 I ended up quitting the job I had and I only spent about half of 2019 actually working and driving to a job
And then the pandemic happened in early 2020 and I spent three years after that either laid off or working a mortgage job .
So I’m lucky that as of right now, my mileage isn’t perfect balance with the age of the vehicle.
But for other reasons, I knew I can’t do Uber and Lyft and all this gig work full-time but right now it’s getting me some income so I’m not going through my savings while I am studying for my mortgage exam and then afterwords re-taking my real estate exam… All so I can have more of a chance of getting a job in real estate again.
But my unemployment ran out, March 2023 so I’ve kind of had no choice but to try to get out and make some money with my car while I’m making this car payment.
Now I wonder, do banks/insurance companies differentiate between delivery services and dedicated COURIER services? Something like medical sample collection, for example.
A good insurance coverage cost so much nowadays, out of all the side, hustles Turo’s is the only one where you can control your pricing.
Thank you
Lucky totally agree on the insurance company stuff. Heard about the banks not letting you use your car for gig work (Ridesharing or deliveries) but how would they find out and is this something new or did they have a commercial use exclusion (assuming for personal auto loans) from years ago? I agree that extreme annual mileage can basically kill a gas car’s value but wouldn’t GAP coverage cover that or only partially? Kind of surprised about the leasing companies too. Does this apply to captive financing also?
yes it does. thankl for sharing
Most insurance companies ask if you will be using your car for "business" and then have some follow up questions to determine the nature of that business. I had to change companies because of this. I work in outside sales and need to regularly visit customer sites, frequently with demo equipment. One wouldn't insurance company wouldn't cover me because my "business" use involved carrying more than a briefcase and laptop while another just wanted to make sure I wasn't using it for Uber or Doordash. If you get caught in a lie by the insurance company later on (e.g. you get in an accident while you're on the clock for Uber), they will cancel or rescind your policy and refuse to cover you. Insurance contracts are generally governed by the principle of "utmost good faith" and failure to meet that (by lying to the insurer) is grounds to refuse to indemnify you.
gap only covers the vehice if its totaled . if the bank repos the care and its worthless with 150000 miles it does nothing to protect them
What if someone just totally the car from the inside and bring the total cost way down that way.
If you have a loan under that vehicle, there are always gps trackers placed on the car in case they have to reposess it. Usually under shifter housing. You are not allowed to remove it until the loan is paid off. It is in your paperwork when you purchased the car. This can be requested by the insurance companies if the want to check to see if you have been doing gig work if there is an accident.
I love this video and agree with everything he said. Mamtmy people dont know that he auto industry is crumbling because banks and insurance companies are pulling out. The same is beginning to happen with Uber & Lyft.
Gig work, especially in huge metropolitan areas such as Atlanta, will quickly depreciate your car and accelerate needed maintenance. For my buy here pay here dealership (BHPH), we no longer sell cars to gig workers. It’s not worth the risk. If we determine that customers are doing gig work during their auto loans, we will either force the customer to refinance the loan for a much shorter term, or we will repossess the vehicle. The GPS installed in the vehicles will easily allow us to determine if someone is doing gig work. We let customers know that they cannot do gig work, and we let them know about the GPS devices. These same rules apply for any commercial use that is high risk and puts a lot of miles on the cars. Many BHPH dealerships in metro Atlanta also have the same stance on gig work.
Uber insures your vehicle. If you have an accident while doing Uber your personal insurance never even knows. So adding Rideshare insurance to your policy is a waste of money. You must work for the banks and insurance companies.
Carvana offers car insurance now and they don't bug about your side hustle like that . 🎉🎉🎉
Hey Lucky, im a vegas local like you and found a really sweet BMW x4M (used) being sold in Arizona. I like cars but I'm not the best in negotiation and asking/finding the right things in this situation. Your videos do help a lot but do you offer any services or know anyone that can basically represent me and help me get the best deal?
That was so interesting I love the video I've never done that and never would I don't want some stranger in my car but it was so interesting how it works
thanks 😁👍
Good Video and Content! Uber seems to be on their game about proving their drivers are properly insured, with that drivers name listed as a Driver on the Car Insurance Policy and Full Coverage on a 2013 Chevy Cruze with about 175,000 miles. Poor ole Cruze is having constant repair maintenance issues, to keep it on the road and rolling! At this point, car is paid for and Insurance payout on a wreck would be minimal for the Insurance Company on the Comprehensive part of Insurance, with Liability being the possible real payout! Brother in Law can do a lot of repairs and maintenance himself. Not everybody can though! Also, Insurance Company is Aware of Use for Uber, Lyft, and Door Dash!
I put 20% down and pay extra and also pay on my note weekly instead of monthly I’m about 5 months ahead on my payments.
I've declared that my car is used for ride share on my Progressive policy (although I only do Uber Eats).
Question. I know this subject might not be your forte but can you say if banks have also cut back on boat loans. Many people here work in the boat industry. Thank you.
Pay cash buy a prius for the side hustle whip
Facts!
Get a CAT shield
Uber Black requires commercial insurance / registration. Lyft Black however does not - so driver doing Lyft Black needs to call insurance and add Rideshare add on.
FYI, Postmates got acquired by Uber I believe 2 years ago now.
Like button gently squeezed.👍
I drove Uber part time, on nights and weekends, for 5 years.
A few points, some of which you mention:
1. It's very important to account for depreciation when you're figuring out your Uber profits. You're not just buying gas, you're destroying a car. I was putting up to 50k miles a year on my car. Depreciation was my largest expense, about the same amount per mile as gas and maintenance combined.
2. Get a ride share rider or commercial policy. Uber does cover you while you're on a trip, but there are some serious gaps, and those need to be covered. Also, do you really want to end up fighting with your insurance company if you're on a personal trip, and you get in a wreck with an Uber sticker in your window?
3. Consider gap insurance or keeping extra savings. Uber has a $2500 deductible on their coverage, and with the mileage on top of that, a driver can end up with a serious deficit if they total the car.
4. Track your mileage with a mileage tracker that complies with IRS guidelines. Deducting that mileage makes a big difference come tax time, and you may be audited.
For me, the money and entertainment was worth it, but most drivers don't think enough about the details before starting.
I never used the Uber or Lyft sticker for that reason. It's my car and I'm still responsible for upkeep, so I'm not taking on extra liability for them. Plus I've heard of rideshare and food delivery drivers being targeted for robbery (I very occasionally drive for Lyft and I used to deliver Pizzas. I hardly ever put those car toppers on either. That also hurts MPG).
Hey they mess with the food or?
Commercial liability for my 2001 F350 with 5 Million liability only is over 3K a year. And it went up another $900 in March. And it basically is to haul my butt around and occasionally haul some stuff. My prime customer requires the five million and make enough to cover it. And one reason I have my 2001 Ford Super Duty is the extra four percent the local banks demand for commercial loans.
thanks for sharing its Important to let people know commercial loans and insurance is different
According to the IRS: As of 1/1/2023 the reimbursement rate for business automobile use is 65.5¢ per mile, up 3¢ from the midyear increase setting the rate for the second half of 2022. This is a *total cost of ownership* rate, including the variable costs of consumables such as gas and tires. Given the labor involved in Uber, Lyft, Doordash, etc., The actual payment for the driver's time and cost of the vehicle at 65.5¢ per mile means that the driver may well be working for less than minimum wages. Few if any drivers are sophisticated enough to understand what the cost of their car really is; all they know is that their side hustle results in a few more bucks at the end of the week. That is sad. It exploits those who can't afford to be exploited. It is still true: The Poor Pay More!
Lyft in the Bay Area, California had an agreement with Hertz rental car and I took advantage of it because I didnt have a car. I kid you not every 1-2 weeks I was having to trade in cars due to mechanical issues. I cant imagine driving my own car to the grave like that.
I knew a guy who did Uber and Lyft because he had a long commute, so he would pick up people who were going roughly in the same direction every day either into or out of the city (which did not hapen all the time). He had the kind of job where he could not rely on public transportation all the time. Also, it allowed him to use High Occupancy Toll (HOT) lanes for free. Otherwise, I agree with others that after gas and maintenance expenses you don't make that much.
I am in BC, Canada. Here we need a class 4 license in order to drive for lyft or uber. Also we don't have any options for insurance. We simply have one provider that we have to use. I only have my L as I have never had a need for a car as I use transit. I am too poor to ever own a car. It is about cost of gas, maintenance, insurance etc. I can't imagine ever owning a car. Lucky I live in a big city that has decent transit near where I live.
Dude. Great video
thanks i appreciate it
I’ve had this issue. No bank loan but I had a friend on my policy and she got into a collision while doing Uber. My insurance company ended my policy. Luckily my mom encouraged me to call to see what we can do and they said I can get a new policy but my friend and her car can’t be added to it anymore. She was dropped like a hot potato
People should make their payments and not be scumbags... BUT the banks also did this to themselves.. 80% LTV maximum would have prevented a lot of this. The banksters are supposed to be the adults in the room but they got greedy.
What is a good insurance company would benefit gig workers
I was hesitant to use service dore food delivery but now many of the restaurants have sealed bags
This is why you do gig work on an electric bike.
zoooommmmmm
If you live in a city, definitely. I live near DC and I see people doing food delivery on e-bikes and scooters all the time. They're probably making the most out of anyone else. Much lower overhead, and you can get away with not paying for parking much easier.
I had never used Uber or Lyft until a recent trip to NOLA. Some of the rides were definitely tired, even though pretty late models. One dude was using a Tesla. I'm paying the fare, and wondering: How much does the company take off the top, and how does the provider actually make money after paying their expenses...let alone pay a car payment? My stuff is paid for, and I wouldn't rack up that kind of use for the paltry $$ they charge. I think as time goes on, those companies are going find it tough to get drivers.
I had a Tesla pick me up in Vegas.
@@jdjones3317 they can make 400 to 500 a day in vegas
Also keep in mind that the rideshare insurance add ons from insurance companies usually are a joke and don’t cover much. These rideshare add ons only cover your car when you have the rideshare app on and are waiting to be assigned ti a customer . Any other circumstance on the app is not covered by your insurance company. So for example, once you are matched with a customer, you are not covered . If the custoner is in your car, you are not covered. Some rideshare companies protect your car in these circumstances, but the deductible is high (about $2,500). Rideshare insurance from most insurance carriers is a waste of money. I think Buckle is the only true rideshare insurance that covers you during every phase of you doing ride share.
Your insurance company doesn’t cover for when a passenger is in the car because at that point, the ride share company’s insurance coverage should kick it.
Your PERSONAL auto loan is not for commercial use. ridesharing falls under commercial usage which why a ride share endorsement is needed. It gives you coverage that is specifically excluded even if covered or a short amount of time. Anything can happen at any time.
@@Kiyonce.Kartier my point is that the insurance company rideshare add on coverage is a money grab and provides little to no value. It only covers a period of time that hardly ever exists when compared to your overall driving. Rideshare apps provide some sort of collision coverage but the deductible is super high. Food delivery and parcel delivery apps usually do not provide insurance to cover the driver’s vehicle. Don’t waste your money with adding a rideshare component to your insurance. Just either get a policy with Buckle insurance or just have a normal auto policy with no rideshare add on (chances are the rideshare add on would not cover you anyway). However if someone wants to pay more to insure yourself from a very very very low probabaly event, go ahead and do it. To properly insure gig workers, insurance premiums would need to be through the roof due to the risk. I am shocked that Buckle insurance has managed to remain in business with this gig worker insurance business model
I'm wondering if you buy a rig like a Jeep and you use it for going up in the mountains and rock climbing and it's your daily driver. At the same time can insurance companies Take it away from you and not ensure you if you ended up in an accident?
It depends if you don't part time is worth it I only go out on the weekends
The best reason to be honest to lenders and insurers is that both will turn over their files and findings to the law for possible prosecution of insurance fraud or lending fraud. You can go to prison.
very ture 😁👍
i did lyft for about 5 years in Miami and Ft. Lauderdale off and on i started in 2015 way before the hype it was better back then before literally every one decided to do ride share now it all sucks
This is why I choose to use a high powered electric bike that I own for food deliveries, can keep up with traffic, and two easy to maintain and about 40-50 miles per charge. There's also the option to buy a charger that charges via the sun.
If you do any of these services and you do not have commercial coverage, or if even worse you get into an accident and lie about whether you were driving commercially at the time, this is considered by insurance companies as fraud or deception if they find out, and you can be immediately dropped from your policy and your claim denied.
I heard this straight from the mouth of an insurance agent.
I put on a lot of miles but bc i have an RE license i get to expense all of my miles for the year..and thats just the side gig..uber used to pay a lot when they first started, now the drivers are working 6 days a week barely able to make a living
Any tips for getting a job part time for Wednesday and Tuesday? And partial Saturdays from 2:30 to 10:30
I want to have a part time. I already work full time. Want more than one income!
I only do uber when they are paying a lot where I live get crazy Friday Saturday and sometimes Thursday . Average around 34 an hour with Uberx
Make your best decision and do not worry about this. Think out of the box and move on.
How would insurances and loan guys know if you do side hustle?
Lucky,
I did ride share for 3 years in the phoenix area, I drove on average 7.5k miles a month (yes crazy), unfortunately the insurance rider is not 10-30 extra a month, I was paying an extra $115.00 per month for the rideshare insurance rider, I was protected from nutty drivers and wacko passengers. Love your show.
Hey Rob, do you recommend rideshare to someone today? Is the juice worth the squeeze with something like a Corolla? I’m in the phx area also. ✌🏾
@AZ Not necessarily, you've got to hustle really hard to make any significant money. I was doing 65 hours a week split days to make $2500.00 a week prior to expenses.
@@AZ-tt4fknot worth it. Don't do it! I'm a rideshare driver in AZ but looking for another job. They keep paying less and less to drivers each year. Now they only pay 15-25%of the fare. Crazy!!
Hi Lucky so I’m your experience what insurance companies are willing to cover rideshare drivers (even if at the increased rate) as to most companies that we called will not cover the vehicle if it is being operated as a rideshare vehicle..
It's not just the banks. The auto insurers are probably going to crack down. Usually your auto rates go up but it's also because of higher incidence (frequency of accidents). I think there will be some folks driving around somehow witthout insurance in non compulsory states, so be careful. New vehicle lean requires the vehicle to be insured for comp/collision. The bank owns the vehicle until it's paid off. The problem with the insurance lies & claims by uber drivers, etc. is that it's impacting the entire book so everyone pays. I'm telling you... there might be an expanding branch in insurance firms for SIU (Special Investigations Units) where they will dig deeper into flagged claims and if they discover misrepresentation.... conversely, if you're looking for a career change ;) maybe keep an eye out on those opportunities with insurance companies!
"Lease companies are gangster."
What kind of notes do hotshots end up getting? Those guys put on enough miles to devalue and wear vehicles out in a short period of time, high risk, and do serious commercial driving. And, again, many of them take light trucks and put them towards grey area commercial use.
My previous job required me to drive for my sales territory. I would rack up 40k miles in a year. Would that have also counted?
Great video LL!! There is a lot to unpack here.
thanks. I appreciate it