Uber and Lyft Insurance Claims and Car Accident Lawyers

With the explosion in use of Uber, Uber-X and Lyft services in Atlanta and most large towns in Georgia, there are naturally going to be accidents and in the aftermath, the insurance picture can be frustrating.

Top Facts to Know:

  • Uber and Lyft drivers are covered under a $100,000 liability insurance policy through the rideshare companies when the app is activated under Georgia law. Uber writes insurance policies with James River and Farmers that also cover property damage.
  • When Uber and Lyft drivers are connected with a rider, the policy increases to $1,000,000 of liability and uninsured/underinsured coverage.
  • No court ruling has yet held Uber corporately responsible either as the employer of the driver or for any other negligence theory, so suing Uber or Lyft directly is not an option.

Who Provides Insurance When an Uber Car Has an Accident?

In the early days of Uber, the company would tacitly advise the driver to put the claim through their own personal car insurance. Most Uber drivers are ignorant of the details of a personal auto policy and the devil is in there. Personal policies all exclude insurance coverage after an accident if the car is being used for hire.

We wrote a detailed article breaking down the various scenarios that an Uber car accident lawyer would analyze in giving advice on what coverage applies. The core takeaways are:

  1. The driver is not listed as available on the app; regular personal car insurance applies.
  2. The driver is available to pick up a rider, but has not connected with a rider yet; the Uber or Lyft policy kicks in with $100,000 in liability and uninsured coverage.
  3. The driver has connected to a rider; the policy provides $1,000,000 in liability insurance and underinsured motorist insurance. This covers the driver and the passengers.

How Does Insurance Work for a Passenger in an UBER or LYFT?

Let’s assume you were riding in an Uber and another car hit your driver and you were injured. In this situation, the at-fault driver’s liability insurance would payout first, followed by any uninsured motorist insurance you carry on your own vehicle, followed by the $1,000,000 James River policy. You are very well insured when riding in Uber. Compare that to taxi cabs in Atlanta who only have $25,000 in insurance.

What if your Uber driver hit your car and it was his fault? In that situation, there would be $1,000,000 in insurance and the same would be true if you were a passenger in the Uber and the Uber driver caused a crash.

Can You Get Lost Wages as an Uber or Lyft Driver after an accident?

Probably yes but it depends. There are two situations to analyze:

  1. You could not drive for the rideshare because of an injury. In this situation, the answer is a definite yes. Injury laws are well settled in Georgia.
  2. You could not drive for the rideshare because your car was in the shop for a month. Probably yes. This is an evolving field of law and insurance companies are still not sure exactly how much proof you need to have. At a minimum save the paystubs and you probably need at least a month of prior work history to establish a track record.