Rideshare use tends to spike in the summer, whether it’s tourists getting to and from the airport, beachgoers avoiding parking hassles, or locals heading out for a night without worrying about driving home. With more rideshare vehicles on the road, accidents involving Uber and Lyft drivers become more common too, and these cases work a little differently than a standard car accident claim.
The biggest difference is insurance coverage, which depends heavily on what the rideshare driver was doing at the time of the crash. If the driver’s app was off, their personal auto policy applies like any other driver. If the app was on but they hadn’t accepted a ride yet, rideshare companies typically provide limited liability coverage. Once a ride is accepted and especially once a passenger is in the vehicle, rideshare companies generally provide much higher coverage limits, often in the range of a million dollars.
This tiered system means the specific timing of the crash, down to whether the driver had accepted a ride request or had a passenger in the car, can significantly affect what coverage applies and how much is available. Rideshare companies and their insurers are well aware of this and sometimes dispute exactly what phase the driver was in at the time of the accident.
If you were a passenger in a rideshare vehicle that was hit by another driver, or if the rideshare driver caused the accident, your claim may involve multiple insurance policies. It could include the rideshare company’s policy, the driver’s personal policy, and potentially the other driver’s insurance if a third vehicle was involved.
Pedestrians and other drivers hit by a rideshare vehicle have their own considerations too. Since rideshare drivers are using their personal vehicles for a commercial purpose, the usual rules about employer liability don’t always apply the way they would with a taxi company or delivery driver, which makes understanding the app status at the time of the crash even more important.
If you were hurt in an accident involving a rideshare vehicle, try to get details on the driver’s app status if possible, and don’t rely solely on what the rideshare company reports to their insurer. These cases benefit from having someone who understands how the coverage tiers work look at the specifics of what happened.
