Understanding Liability Coverage for a Tennessee Rideshare Collision

uber or lyft driverGetting a Lyft or Uber to drive you to your destination can be a convenient way to avoid transportation headaches, such as trying to find parking in a congested area. However, what happens if a negligent rideshare driver hits your vehicle? Who may be liable for your damages?

Greg Coleman Law discusses common accident scenarios with a Lyft or Uber driver and how an attorney may be able to help you to pursue compensation for your damages.

Contact our firm to learn more about what legal actions you may have after being injured in an accident involving a rideshare driver. Our initial consultations are a completely free, no-obligation way to learn whether you may have a valid case. You can reach a representative for help with setting up this meeting anytime, day or night.

Who Pays for Damages When a Rideshare Driver Causes an Accident?

If your car is hit by another vehicle that is being operated by a Lyft or Uber driver, recovering compensation for your damages can be complicated. There are many factors that can determine whether the rideshare driver or company will be liable for the damages. In either scenario, you will still have to prove the other driver was negligent.

Uber, Lyft and other ridesharing companies legally require their contracted drivers to carry their own personal liability insurance. This means that if the rideshare driver caused your accident and was not “on-the-clock” at the time, then his or her personal insurance should be your primary coverage.

If a driver was working at the time of the accident, then the rideshare company’s liability insurance would apply. Sometimes, however, determining when a driver is “on-the-clock” and covered by the rideshare company's insurance can be tricky. This is just one of the reasons why you should speak with a lawyer after being injured in this type of crash.

When is the Rideshare Company Liable for Damages From a Car Crash?

There are many considerations that impact whether a rideshare company can be held liable for the damages caused by one of their drivers. However, in general, for Uber or Lyft to be liable, the driver must have the rideshare app on at the time of the accident for coverage to apply.

The rideshare company may be liable for losses from a car crash involving one of their drivers if the app is on and:

  • The rideshare operator is actively seeking a passenger
  • The rideshare operator is en route to collect a passenger
  • A passenger is being transported by a rideshare driver

If your vehicle was hit by an at-fault rideshare driver under any of these circumstances, then you may be able to pursue compensation for the injuries and other damages you suffered from the rideshare company. The amount of available coverage varies, depending on the terms and limitations of the rideshare company’s policy.

What Happens if the Rideshare Driver Has Insufficient or No Insurance?

One of the major problems for rideshare drivers is that once an insurance company discovers that they are using their personal vehicle to provide these services, it is common for their policy to be canceled. While some drivers will do the right thing and seek coverage through insurance companies that offer special rideshare insurance policies, they may only get the minimum coverage. Others will simply choose to drive without insurance.

If the driver has insufficient insurance to cover your damages, you may be able to pursue compensation for additional damages through the rideshare company. Some companies, such as Uber, carry a contingency policy for this purpose. If the rideshare operator is at-fault but driving without insurance, you should talk to an attorney about what other options may apply in your situation.

What If You Were Injured as a Passenger in a Rideshare Car?

All occupants of a rideshare vehicle are covered by Uber or Lyft’s liability insurance policy. However, it is important to remember that the $1,000,000 policy limits provided are per accident, not per passenger.

Less familiar rideshare companies may provide different coverage. If you use a rideshare company other than Uber or Lyft, it is a good idea to research the company to find out what insurance coverage they may provide before using their services.

Get Legal Help for Your Rideshare Car Crash Today

After being injured in a car crash involving a rideshare driver, we strongly recommend that you seek legal help from a qualified attorney.

At Greg Coleman Law, our Knoxville auto accident lawyers are very familiar with how liability applies after an accident involving a rideshare driver. Whether you were in another vehicle hit by an Uber or Lyft driver or you were a paying passenger being transported to your destination, we are prepared to help.

Contact our firm online or by phone or text. Our representatives will set up your free consultation so you can get answers to your legal questions. There is no obligation to hire our services, but if you do, there are no upfront costs to pay. You pay us nothing unless we first recover compensation for your damages.

Text or call for your FREE consultation today: (865) 247-0080