What to Know Before Becoming an Uber or Lyft Driver

Understanding what to know before becoming an Uber or Lyft driver will improve your experience. You should know peak driving times in your area, manage your work schedule, and engage well with strangers. After various expenses and Uber or Lyft’s commission, your earnings may not be as high as you think. You’ll also need a valid driver’s license, proof of car insurance, and more. Before becoming an Uber or Lyft driver, consider the requirements first.

Free Insurance Comparison

 Secured with SHA-256 Encryption

Chris Tepedino is a feature writer that has written extensively about home, life, and car insurance for numerous websites. He has a college degree in communication from the University of Tennessee and has experience reporting, researching investigative pieces, and crafting detailed, data-driven features. His works have been featured on CB Blog Nation, Flow Words, Healing Law, WIBW Kansas, and C...

Full Bio →

Written by

Laura Walker graduated college with a BS in Criminal Justice with a minor in Political Science. She married her husband and began working in the family insurance business in 2005. She became a licensed agent and wrote P&C business focusing on personal lines insurance for 10 years. Laura serviced existing business and wrote new business. She now uses her insurance background to help educate...

Full Bio →

Reviewed by Laura Walker
Former Licensed Agent

UPDATED: Dec 29, 2021

Advertiser Disclosure

It’s all about you. We want to help you make the right coverage choices.

Advertiser Disclosure: We strive to help you make confident insurance decisions. Comparison shopping should be easy. We are not affiliated with any one insurance company and cannot guarantee quotes from any single insurance company.

Our insurance industry partnerships don’t influence our content. Our opinions are our own. To compare quotes from many different insurance companies please enter your ZIP code above to use the free quote tool. The more quotes you compare, the more chances to save.

Editorial Guidelines: We are a free online resource for anyone interested in learning more about insurance. Our goal is to be an objective, third-party resource for everything insurance related. We update our site regularly, and all content is reviewed by insurance experts.

The Rundown

  • The process of becoming an Uber or Lyft driver is simple
  • Your earnings as an Uber or Lyft driver may not be as high as advertised
  •  Uber or Lyft driver requirements include a valid driver’s license, proof of insurance, and more

The popularity of rideshare and delivery services has grown exponentially within recent years. Rideshare and delivery services, such as Uber and Lyft, offer more than just money to their drivers; they provide social interaction, a sense of accomplishment, and flexible schedules.

Because of the perks involved, more and more drivers have opted to drive for services such as Uber or Lyft. For every pro, however, there are always cons.

Keep reading to learn what to know before becoming an Uber or Lyft driver, including financially beneficial tips, inside information, and whether or not you need car insurance to drive for these companies.

Before jumping in, enter your ZIP code into our free online tool for instant auto insurance quotes from companies in your area today.

What to Know Before Becoming an Uber or Lyft Driver

Initially, driving for Uber or Lyft may seem like easy cash in your pocket. But, while the concept is simple, there are still a few helpful things to know before becoming an Uber or Lyft driver.

How much money do you earn driving for Uber or Lyft?

The first thing that you should be aware of before driving for Uber or Lyft is how much money you will pocket. Both companies advertise high earnings, but once you consider various expenses, they may not be as high as you think.

Before you start driving for Uber or Lyft, consider the following expenses:

  • Maintenance
  • Repairs
  • Gas
  • Car Insurance
  • Taxes
  • Uber or Lyft’s commission

Before driving, it is essential to know that both Uber and Lyft withhold a certain percentage of your earnings for their commissions. Uber takes 25% and Lyft takes 20 to 25%.

While the more you drive is positively reflected in your earnings, it is safe to expect the money you take home will be less than you initially thought.

As you drive for Uber or Lyft, you should also be very familiar with your area and the peak traffic hours in your area. This familiarity will help you have a successful driving experience.

During peak hours, prices are often increased for passengers, typically very late or very early in the morning. Passengers requesting rides very late often come from bars and are at a higher risk of getting sick in your car. If that happens, Uber or Lyft will help cover the cleaning cost.

What else should you know before driving for Uber or Lyft?

Finally, it is beneficial to keep in mind the various rigors of the job. For example, you have to commit to keeping your car clean any time you would like to drive.

You also have to keep in mind that you will have to be around many strangers. If you are not naturally a “people” person, you may be uncomfortable.

You also must manage your work-life schedule. If you choose to drive full-time, part-time, or whenever you can, you are responsible for creating and maintaining your schedule.

Compare The Best Insurance Quotes In The Country

Compare quotes from the top insurance companies and save!

 Secured with SHA-256 Encryption

How do you become an Uber or Lyft driver?

Becoming an Uber or Lyft driver is simple. Each company has a similar process.

If you want to become an Uber driver, you will begin by signing up online. The application is quick and straightforward and includes a section to upload necessary documents.

After your Uber application has been approved, you can download the app onto your mobile device and begin driving in your area.

The Lyft application is similar. The application process begins either through the company’s website online or the mobile app, in which you upload required documents.

Again, similar to Uber, once you have been approved to drive, you may begin driving and earning money.

What are the Uber or Lyft driver requirements?

Just as Uber and Lyft’s application processes are similar, so are each company’s set of requirements. Some of the driving stipulations for each vary.

Minimum Lyft driver requirements include:

  • Your driver’s license
  • A background check
  • Insurance and registration
  • Your car or a rental car

Uber’s minimum driver requirements include:

  • A valid US driver’s license
  • At least one year of licensed driving experience in the U.S. (three years for drivers under 25 years old)
  • Meet the minimum age to drive in your city
  • An eligible four-door vehicle
  • Proof of residency in your city, state, or province
  • Proof of vehicle insurance if you plan to drive your car
  • A driver profile photo

Essentially, to work for either Uber or Lyft, you have to be a current, legal driver in your state or province.

If you are wondering how to be an Uber Eats driver, the process is precisely the same as driving for Uber. If you are already an Uber driver, all you have to do is review and accept the delivery terms in the app.

What to Know Before Becoming an Uber or Lyft Driver: the Bottom Line

Becoming an Uber or Lyft driver is generally quick and easy. Even still, it is essential to be aware of what you need to know before becoming an Uber or Lyft driver.

As an Uber or Lyft driver, you should know that with various expenses, including Uber or Lyft’s commission, you may not keep as much money as you think.

Keep in mind your first responsibility to build and maintain your schedule, interact with your passengers, and know the peak times in your area.

The application process to become an Uber or Lyft driver is simple and easily accessible. You will need to provide your driver’s license, proof of residency, insurance, among other requirements to drive for either company.

If you want to drive for Uber or Lyft, you will need valid car insurance for your state. Be sure to talk with an insurance agent and research your options to find the best insurance companies in your area.

With more understanding of what you need to know before becoming an Uber or Lyft driver, enter your ZIP code into our free online tool for instant car insurance quotes from companies near you.

Free Insurance Comparison

Compare quotes from the top insurance companies and save!

 Secured with SHA-256 Encryption