Liability Issues for Ridesharing Accidents Can Be Complex
Many San Antonio residents and visitors rely on ridesharing vehicles like Uber and Lyft for transportation. But with so many ridesharing vehicles on the road—and drivers who may be hustling to cram in as many rides as possible—it’s no surprise that car crashes can occur.
If you’ve been hurt in a crash and an Uber driver was at fault—whether you were their passenger, a pedestrian, or in another vehicle—you have a right to seek compensation. But because of the way Texas law treats rideshare companies, figuring out who is responsible for paying your claim (and how much liability coverage is actually available) isn’t always a simple matter.
Below, we’ll outline how Uber insurance policies apply to car accidents that their drivers cause and the steps you need to take to maximize your personal injury claim.
Does Uber cover car accidents caused by their drivers?
It depends. While Uber and Lyft advertise their $1 million liability policies, these policies do not cover every accident involving a rideshare driver.
Under Texas law, Uber, Lyft, and any other rideshare companies that use a digital network to prearrange rides is considered a “transportation network company,” or TNC.
TNC drivers must carry a certain amount of liability coverage for accidents they cause, which can be provided by either the driver or the TNC. However, the amount of coverage that is actually “in force” depends on what kind of work (if any) the driver was engaged in at the time.
There is a three-stage system:
Stage 1: the rideshare driver isn’t working
Uber only covers drivers when they’re working. If the driver isn’t logged into the network (and therefore isn’t available to accept a ride request), then only the driver’s own personal auto insurance applies.
In Texas, drivers (including Uber drivers) are only required to carry $30,000 per person and $60,000 per accident in injury coverage, and $25,000 in property damage, on their personal vehicles. They could, of course, be carrying more. But many choose only the minimum.
Stage 2: the rideshare driver is logged in, but does not have a ride request
When a driver is logged into a ridesharing system (such as the Uber app) but has not accepted a ride request, the minimum coverage for injury or death is raised to $50,000 per person and $100,000 per accident. (The $25,000 in property damage coverage still applies.) If the driver’s own auto insurance policy limits aren’t high enough, the TNC (Uber or Lyft) is responsible to provide the rest on the driver’s behalf.
However, these policies activate only if the driver’s personal insurance policy won’t fully cover your damages. Therefore, you and your personal injury lawyer will most likely need to file claims with both the driver’s and the company’s insurance policies.
Stage 3: the driver is in route to a fare or currently transporting a customer
Once a driver accepts a fare on a ridesharing app, the $1 million third-party liability insurance policy applies. This covers any injury, death, or property damage sustained up to the limit.
However, the liability policy only covers injuries when the rideshare driver was at fault. If another driver caused the accident, you must file a claim against his or her auto insurance policy.
What Should I Do If I’m Injured in a Ridesharing Accident?
Any time you’re involved in an any motor vehicle crash, you always should take the following steps as best as you are able:
- Contact law enforcement and file a police report.
- Obtain insurance information from all drivers involved. For the rideshare driver, make sure you get both the rideshare company’s information and his or her own personal policy information.
- Take pictures of your injuries, property damage, and the crash site (if possible).
- Seek immediate medical treatment for your injuries.
- Contact an experienced personal injury lawyer.
Post-accident, you should also document your injury-related expenses, including medical bills and lost wages.
Your legal options after being injured in an Uber or Lyft accident
After the crash, you must file timely claims with all applicable insurance companies, either on your own or with the help of a personal injury lawyer.
In addition to medical expenses and lost wages, you’re also entitled to seek fair compensation for physical pain and suffering, emotional trauma, and any other non-economic damages that affect your quality of life.
RELATED: What is an average settlement for pain and suffering after a car accident? | Crosley Law
The problem that injury victims often have here is that there could be a number of different insurance companies and policies involved, depending on who caused the crash and what stage the rideshare driver was in at the time.
For example:
- If the rideshare driver was at fault and was in stage 2 at the time (logged in but without a ride request), you will likely have to file claims against both the driver’s personal liability insurance policy and the rideshare company’s policy.
- If the Uber driver wasn’t responsible for the crash, you’ll need to file a claim against the at-fault driver.
- If there isn’t enough liability coverage to fully compensate you for your damages, you may have to file an uninsured and underinsured motorist (UM/UIM) claim. In fact, you may have to file more than one, since policies provided by the rideshare driver, the rideshare company, or even your own auto insurance policy may apply.
- Additional sources of coverage from the same policies, such as personal injury protection (PIP) and medical payments (MedPay) coverage may also be available.
It’s not always easy to figure out who actually caused the Uber accident and which insurance policies apply, especially if you don’t have an experienced personal injury lawyer representing you. Failing to file a claim against an applicable source of insurance coverage could result in you leaving money on the table.
Unfortunately, any time a car accident involves multiple insurance policies and competing interests, there is a high likelihood that your claim will be denied or delayed. The driver’s personal auto and ridesharing policies might attempt to shift liability to Uber or Lyft, while the ridesharing companies will do the same.
If you are getting the runaround from the insurance companies after a crash involving a ridesharing vehicle, it’s in your best interest to contact an experienced personal injury attorney right away.
Car Crash? Call Crosley
If you were injured by an Uber or Lyft driver in Texas, contact Crosley Law today for a free initial case review. There are many potential stumbling blocks in an Uber negligence case: strict filing deadlines, competing insurance policies, and the need for careful investigation. We want to make sure you avoid these pitfalls and get the compensation you deserve.
We work on a contingent fee basis, which means you won’t pay any attorney’s fees unless we get you a settlement or win your case in court.
To schedule your free case evaluation with an experienced personal injury lawyer from Crosley Law Firm today, call us at 210-LAW-3000 | 210-529-3000 or fill out our quick and easy online contact form.
The content provided here is for informational purposes only and should not be construed as legal advice on any subject.
