Ridesharing apps like Uber and Lyft are an affordable, convenient, and usually safe way to get around. However, just like riding in any car, there’s a chance that an accident could occur. In a lot of ways, the legal proceedings surrounding a car accident are the same when a rideshare is involved.
Like any personal injury case, the party who caused the accident is the negligent party. The injured party, whether it’s bodily injury, property damage, or both, has the right to bring a claim against the negligent actor. There is one important difference here, though – Lyft or Uber accidents claims usually have a higher insurance coverage limit.
Drivers for Uber or Lyft have to carry the State minimum policy of $25,000 like every other driver. The companies themselves – Lyft and Uber – also carry $1.25 million in coverage in addition to the driver’s policy. If you’re the injured party in an Uber or Lyft accident, that means you’ll have to worry less about funds being available to compensate you for your injuries.
However, the Uber or Lyft insurance coverage only applies in certain circumstances. For both Uber and Lyft, if the driver isn’t logged into the ridesharing app at the time, the accident is considered to have happened on the driver’s personal time. As a result, the driver wouldn’t be covered under the ridesharing insurance.
If an accident occurs while the driver is logged into the app and is looking for passengers, but hasn’t yet picked up anyone, then the ridesharing insurance may provide additional coverage if the driver’s insurance isn’t adequate. Uber allows for up to $50,000 per person for bodily injury and up to $25,000 for property damage. Lyft provides these same amounts but limits its coverage to $100,000 per accident for bodily injury.
If the accident occurs after the ridesharing driver has picked up the passenger and is en route, then both Uber and Lyft’s coverage fully applies. Lyft also has contingent collision and comprehensive coverage that’s equal to the car’s value or cost to repair, after a $2,500 deductible.
Navigating insurance after a car accident is difficult enough. It’s even more difficult if one of the involved vehicles acts as a rideshare. Our team of experienced attorneys at The Coppola Firm can help you or someone you love if they’ve been involved in a car accident including if it involved an Uber or Lyft driver.