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Who Pays in a Rideshare Accident?

Posted by Siamak Vaziri | Jan 13, 2025 | 0 Comments

Who pays in a rideshare accident

More people depend on rideshare services like Uber and Lyft to get around quickly. With so many rideshare drivers on the road, accidents unfortunately happen.

When a passenger or another driver suffers injuries in a rideshare car accident, figuring out who pays often becomes confusing. Understanding the policies in place and the steps to file a claim can help you protect your rights.

Both the rideshare company and the driver carry insurance coverage, but the exact policy that applies depends on when the crash happens. Personal auto insurance policies cover some accidents, while others fall under the rideshare company's liability insurance.

If multiple vehicles are involved, several insurance companies might try to pass the blame around. At Vaziri Law, we can explain how rideshare accidents occur and who typically covers medical bills, lost income, and other damages.

Table Of Contents

Why Do Rideshare Accidents Happen?

Rideshare drivers rush to complete as many trips as possible, navigating busy streets while handling route changes and passenger requests. This constant pressure can lead to errors, such as missing a traffic signal or failing to notice a hazard. Distractions from the driver's phone or a passenger's conversation further increase the likelihood of an Uber or Lyft accident.

In addition, some rideshare drivers are unfamiliar with certain neighborhoods, causing last-second lane changes or sudden stops. Mechanical failures, weather conditions, and reckless actions by other motorists add to the risk.

Even a safe driver can get into trouble if someone else behaves irresponsibly. Keeping track of these factors helps insurers and courts decide who holds fault.

Understanding Rideshare Insurance Policies

Understanding rideshare insurance policies

Rideshare drivers use personal auto insurance for some parts of their day, but they switch to the company's coverage once they log into the app.

The specific amounts of bodily injury liability coverage vary by state and whether they have a passenger on board. Below, we detail what coverage looks like for each scenario.

Coverage When the Driver Is Off the App

If an Uber or Lyft driver has not activated the rideshare app, they usually rely on their personal auto insurance.

Neither Uber nor Lyft provides coverage at this time. In other words, if they cause a car accident when off duty, the claim goes through their standard auto insurance policy. This means the rideshare company is not liable unless the driver is officially on the job.

Coverage During Active Rides

Once a driver accepts a request or has a passenger in the vehicle, Uber and Lyft policies provide liability insurance in case of an accident. Their coverage can include higher limits than what a typical personal policy offers.

For example, Uber provides liability insurance during active rides, which covers certain damages in case of an accident, in addition to the driver's personal insurance, ensuring at least the minimum coverage required by law.

When the driver is offline and not using the app, their personal auto insurance applies, so Uber's policy does not cover those periods. If an accident occurs during a trip, Uber's insurance typically includes liability, uninsured/underinsured motorist coverage, and, in some cases, contingent comprehensive and collision, depending on the driver's personal policy.

Then, Lyft's liability insurance offers primary liability insurance (often up to $1 million), plus possible coverage for underinsured/uninsured motorists, contingent collision, and comprehensive if the driver's personal policy includes those. Be sure to reach out to an expert if you need clarification.

These policies often cover injuries to riders, other drivers, or pedestrians, depending on who was at fault. However, disputes can arise about the driver's status at the exact time of the crash. Because of the confusing nature of this insurance coverage, you need to reach out to an attorney as soon as possible after a rideshare accident.

Uninsured/Underinsured Motorist Coverage

If another at-fault driver lacks enough auto insurance, you should ask about uninsured/underinsured motorist protection. This extra coverage can kick in when you are seriously hurt and the other driver cannot pay.

However, every situation is different, and rideshare companies might challenge your claim if they think their policy does not apply. Having a rideshare accident attorney analyze your options can help.

Determining Liability in Rideshare Accidents

Insurance companies look at many factors before deciding which policy applies. Police reports, witness statements, and crash scene photos help reveal who caused the collision. The question also arises: was the Uber or Lyft driver working at the moment?

Rideshare Driver Negligence

Negligence means the rideshare driver failed to act with reasonable care, such as by speeding or texting. If the rideshare driver causes the crash, liability insurance from Uber or Lyft covers damages if they were on the app.

If they were off the app, personal auto insurance coverage may handle the claim instead. Proving the driver's negligence requires solid evidence.

Other Drivers Involved in the Collision

Sometimes, a rideshare driver is not at fault. Another motorist may have run a red light or changed lanes without signaling.

In these situations, claims go through the at-fault driver's insurer. Yet disputes can arise if multiple drivers share responsibility. A thorough investigation helps clarify who must pay for injuries and damage.

Role of the Rideshare Company's Insurance

Uber or Lyft have large liability policies to protect riders and the public. If you were a passenger when a wreck occurred, these policies typically cover your medical expenses.

However, coverage limits and specific rules vary. The process of filing claims or personal injury lawsuit actions can grow complicated if the rideshare company disputes responsibility or if multiple insurance companies become involved.

Filing a Claim After a Rideshare Accident

If you suffer injuries in a rideshare collision, you have the right to seek financial recovery for medical costs, lost wages, and other losses. Knowing who caused the accident and whether the driver was active on the app is crucial. What do you need to do to start the claims process?

Steps to File a Claim Against the At-Fault Party

  1. Seek medical attention. Your health comes first. Go to a doctor immediately, even if you feel okay because some injuries might appear later.

  2. Contact law enforcement. Get a police report of the incident. This official record helps when dealing with insurance companies.

  3. Obtain driver and vehicle information. Collect the names, license numbers, and insurance details of all parties. This includes the rideshare driver's insurance coverage.

  4. Notify the rideshare company. Report the incident to Uber or Lyft through their app or website. Ask for confirmation of your report.

  5. Document everything. Take pictures of the accident site, injuries, and vehicle damage. Keep medical records, bills, and any receipts linked to the crash.

  6. Consult a lawyer. Speak with a professional who is experienced in rideshare claims. An attorney can guide you on whether to file a personal injury lawsuit or negotiate directly with insurers.

  7. Negotiate or take legal action. If the insurer refuses fair payment, you may have to file a lawsuit. A lawyer can advise you on how best to proceed.

Keeping track of every detail from the crash and medical treatment helps strengthen your claim. Thoroughness can mean a better final settlement.

Gathering Evidence to Prove Negligence

Insurance companies require strong proof that someone's carelessness led to your injuries. Photographs from the scene, witness statements, and the official police report all carry weight.

Sometimes, experts reconstruct the accident to demonstrate how it happened. By presenting solid evidence, you can hold the at-fault party accountable.

Working With an Attorney to Secure Compensation

An attorney skilled in rideshare accident cases understands the unique policies and coverage levels involved. They negotiate with insurers, gather evidence, and identify when it is best to file a lawsuit.

Their expertise often leads to higher settlements than someone handling the claim alone. If your case goes to court, your lawyer can argue effectively on your behalf.

Who Can Be Held Liable in a Rideshare Accident?

Who can be held liable in a rideshare accident

Liability can extend to Uber or Lyft drivers, other motorists, or even rideshare companies. In many cases, the driver's personal auto insurance or the rideshare company's policy covers your losses. However, disputes can surface if the fault is unclear or multiple drivers share the blame.

Sometimes, a passenger in another car or a city that neglected road maintenance could be partially responsible. You might need to do an extensive investigation to find all the parties who are liable. Detailed police reports, witness accounts, and legal analysis often clarify how the accident unfolded. Once liability is set, you can move ahead with a claim or lawsuit to recover damages.

What Is Your Rideshare Accident Truly Worth?

The value of your claim depends on factors like medical bills, missed work, and the overall impact on your life. If your injuries are severe, you might need ongoing treatments, leading to higher compensation. Insurance coverage from the rideshare company may offer higher limits than your personal policy.

In addition, intangible losses like pain, suffering, or emotional distress factor into the total worth of a claim. An attorney evaluates all these elements, ensuring you do not accept an offer that barely covers your immediate costs.

Building a thorough case increases your chances of securing fair payment. If you want to know the true value of your case, take a closer look at our car accident settlement calculator. Then, reach out to us to ensure you leave no stone unturned.

Let Our Los Angeles Rideshare Attorneys Protect Your Rights

Our Los Angeles car accident lawyer is here to protect your rights. Some of the ways that our team can fight for you include:

  • Complete investigation. We dig into the circumstances of your accident, uncovering any negligence by rideshare drivers or other parties. Our method ensures nothing is overlooked.

  • Thorough documentation. We gather medical records, witness statements, and other proof. This robust approach stops insurance companies from downplaying your injuries.

  • Skilled negotiation. We communicate with insurers who represent the rideshare company or at-fault driver. Our experience in rideshare cases leads to stronger settlement outcomes.

  • Legal strategy. We determine whether you should handle the claim informally or consider a personal injury lawsuit. We adapt our tactics based on your best interests.

  • Court readiness. If negotiations fail, we are prepared to go to trial. Our attorneys know how to argue effectively in court, defending your rights from start to finish.

These are just a few of the many ways that our Los Angeles rideshare attorneys can fight for you. Contact us today to learn more about how we can position your claim for success.

Contact Our Los Angeles Rideshare Attorneys for a Free Case Consultation

Contact our Los Angeles rideshare attorneys for a free case consultation

When you are hurt in a rideshare accident, you deserve skilled legal help to navigate complex insurance policies.

At Vaziri Law, our Uber accident lawyer can explain how rideshare personal injury protection (PIP) coverage works. We can help you maximize your settlement. We believe in standing up to insurance companies that try to minimize your claim.

Our client reviews, and previous case results show how we can stand up for you as well. Contact us now for a free consultation, and let us help you move forward.

About the Author

Siamak Vaziri

Attorney Siamak Vaziri’s mission is to help make his clients whole by obtaining maximum physical, emotional, and financial recovery. Mr. Vaziri’s clients' needs come first, evidenced by his 98% success rate, more than $1 Billion in client settlements and verdicts, as well as 100+ 5-star reviews. Mr. Vaziri invests every resource to nurture his client and partner relationships and does so with integrity and a relentless work ethic.

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