Uber and Lyft Accidents: Are Rideshare Drivers Covered?
When one of Uber’s driverless cars struck and killed a woman in Arizona recently, it brought up the question of safety and rideshare companies. While we’re unlikely to see a repeat of that tragic accident any time soon – Uber pulled all of its driverless vehicles while it investigates what happened – we can expect to see everyday motor vehicle accidents involving Ubers and Lyfts.
What happens if you’re in an accident while driving for Uber or Lyft? Are you covered under the company’s auto insurance policy? Are you covered by your own? Read on to find out.
Are You Covered Under Uber’s or Lyft’s Insurance Policy?
Both Uber and Lyft maintain insurance policies with high levels of coverage for its drivers. It’s important to read the fine print to understand exactly what coverage applies when, as the type and amount of coverage varies depending on what stage the driver is in.
According to Uber and Lyft, its drivers are covered by the company insurance policy while using the app. When on the way to pick up a rider and while giving a ride, the driver has the following coverage:
- Third-party liability coverage for accidents that are the driver’s fault
- Uninsured/underinsured motorist bodily injury coverage
- Collision and comprehensive coverage for your vehicle (with a deductible of $1,000 for Uber and $2,500 for Lyft) as long as the driver maintains an auto insurance policy that includes this coverage while not driving for Uber or Lyft
However, before accepting a ride request but while active in the app, the driver has third-party liability coverage only.
(Note that these policies are current as of March 2018 but may change in the future.)
Are You Covered Under Your Own Policy While Driving For Uber or Lyft?
Maybe, maybe not; don’t assume anything. It’s best to call your auto insurance company and ask. They could try to deny a claim, as you were providing a commercial driving service, which may not be covered under a personal policy.
The solution is to find a policy that does cover rideshare drivers (there’s a good list here on Nerdwallet) or to consider purchasing a commercial auto insurance policy that covers you while you’re driving for Uber or Lyft.
Also, remember that some of Uber’s and Lyft’s coverage is contingent, meaning you’re only covered by the company’s policy if you already maintain similar coverage on your own auto policy. Make sure that you have those policies in place, such as collision and comprehensive.
Work with experienced auto accident attorneys
If you were injured in a Lyft or Uber accident, talk to a lawyer about your options. The personal injury attorneys of The Carolina Law Group can help you build your case and will fight to get you a fair settlement. Fill out this contact form or call one of the numbers below to schedule your free initial consultation.
The Carolina Law Group has four offices in upstate South Carolina for your convenience: Greenville (principal office; call 864.312.4444), West Greenville (864.312.4444), Greer (principal office; call 864.757.5555), and Spartanburg. Call today.