Have you ever used a ridesharing service such as Uber or Lyft? These companies provide a convenient service to many. All you need to do is go on the app and request a ride. The times of waiting on the side of the road or calling ahead to hail a taxi seem to be far in the past for those who use ridesharing services. Unfortunately, however, the reality is that the drivers of Uber and Lyft are not immune to involvement in accidents. They are susceptible to the dangers of the road just like all of us. What happens, however, if you find yourself involved in a ridesharing accident? Who will pay for your damages? The answer will depend on several factors.
Who Pays in a Ridesharing Accident?
In personal injury claims, the party or parties who are found to be liable for causing an accident will be responsible for covering the damages of any victims involved in the accident. The question of liability can be complex and requires a fact-specific analysis of the circumstances surrounding the accident. In a ridesharing accident, if the driver of a non-ridesharing car is found to have caused the accident, then he or she will be responsible for paying the losses associated with the accident. More specifically, in most cases, the insurance company for the at-fault driver will pay out the damage claims resulting from the accident.
Who will pay in a ridesharing accident caused by a rideshare driver, however, is where things get a little trickier. You see, drivers for ridesharing companies like Uber or Lyft are technically not considered employees. They are, instead, considered “independent contractors.” This means it can be difficult to recover money in an accident caused by an Uber or Lyft driver from these big companies. Uber and Lyft do, however, carry liability insurance in the event their drivers are involved in an accident. The companies are essentially taking an extra precaution to avoid exposing the company to big lawsuits.
The amount of liability insurance Uber or Lyft will make available in the event of an accident will greatly depend on the timing of the accident. If the driver was off duty, their app was turned off, at the time of the accident, the companies will provide no additional insurance coverage in the event of an accident. If the driver’s active and looking for a rider, then Uber or Lyft may offer partial third party liability coverage. If the driver is active and on the way to pick up a driver, then Uber or Lyft will offer even more third party liability coverage if an accident occurs at this time. If the driver has a passenger at the time of the accident, then Uber or Lyft will not only offer third party liability coverage but will also offer uninsured motorist coverage.
Personal Injury Attorneys
If you have been injured in a ridesharing accident, you need a dedicated and knowledgeable personal injury attorney by your side to help ensure you get the compensation you deserve. At Compass Law Group we provided trusted legal counsel to injury victims. Contact us today.