There is plenty of information about there about what happens if you are a passenger in an Uber or Lyft when a car accident occurs. There is less information about what a driver’s options are if they are on the job when they are involved in an accident. Keep reading to get the facts from a personal injury attorney and then contact Law Offices of Fernando D. Vargas at 909-982-0707 for a free legal consultation.
There are a Number of Liability and Insurance Issues
The reason these cases are complicated is that they can involve complexities of numerous liability and insurance issues. It is true that driving for these companies may be a good way to increase your income but you are also more likely to become involved in an accident for every mile you drive.
Insurance Coverage for Rideshare Drivers
First, know that Uber and Lyft drivers are not employees of the companies they are driving on behalf of – they are independent contractors. This is because they are free to work when they want. They are required to have their own personal auto policy in California, as well as the Transportation Network Company (TNC) insurance coverage, which is $1 million in primary liability insurance that starts the second the driver turns on the app they are driving for.
There is One Major Gap in Coverage for Drivers
When the app is open and you are waiting for a ride match, this is a gap of coverage for you. While you do have some coverage, it is just $50,000 per person $100,000 per accident for all injuries under their contingent liability policy. This is much less than coverage at other times of the driving process.
You Have Full Coverage Once You Have Accepted a Ride and Until They Exit the Car
Interestingly, your full coverage does not begin when you pick up the ride, but rather when you are matched for the ride. At that point you have commercial auto liability and uninsured / underinsured motorist coverage of up to $1,000,000 per accident. This continues until the moment all passengers exit the vehicle.
What to Do if You Are Involved in a Car Accident While Driving a Lyft or Uber
Just because Uber and Lyft have insurance policies that can cover your case does not mean you do not need a personal injury attorney. Remember that even when you are the person covered by the policy, the insurance company still has an incentive to make sure the payout is as low as possible. Do not make this easy for them – call Law Offices of Fernando D. Vargas at 909-982-0707 and let us help you through this.
