A new analysis reveals that as 40% of college students turn to Uber, Lyft and delivery services, they unknowingly face insurance coverage gaps, potentially bankrupting families.
LOS ANGELES, Aug. 12, 2025 /PRNewswire/ — As college students nationwide head back to campus this month, a hidden financial crisis is brewing that could devastate families: millions of students driving for Uber, Lyft, and delivery services are unknowingly operating in dangerous “coverage gaps” where neither their parents’ auto insurance nor company-provided policies apply, leaving them exposed to potentially catastrophic financial liability.
New analysis by CheapInsurance.com reveals that the intersection of college financial pressures and the gig economy has created a perfect storm of insurance vulnerabilities that threatens the financial security of students and their families at the worst possible time.
The Hidden Crisis Behind Campus Financial Struggles
College students are increasingly turning to rideshare and delivery driving as a financial lifeline. Recent data shows that 40% of full-time college students now work while attending school, with many gravitating toward gig work’s promise of flexible hours that can accommodate class schedules. Meanwhile, 30% of adults under age 30 participate in some form of gig economy work, making college-age students the largest demographic in this rapidly expanding sector.
“Students think they’re solving their financial problems by driving for these apps, but they’re actually creating potentially devastating insurance exposures that could bankrupt entire families,” said Fausto Bucheli, Jr, President of CheapInsurance.com.
