Much has been said about the one-million-dollar insurance policies carried by the leading rideshare companies of Uber and Lyft. These million-dollar policies are extended to protect every vehicle working on the clock for these ridesharing giants and the insurance coverage is even mandatory in several states. While a million-dollar policy sounds pretty extravagant, it’s also absolutely necessary.
The insurance policy is how ridesharing brands take responsibility for their driver’s actions, attention, and even intoxication. If a driver is on the clock, they and anyone who might be injured in a wreck with them is covered by the policy. Of course, there are also some pretty strict rules. Today, we’re here to highlight just what the million-dollar policy covers in a real-world context. As an experienced rideshare attorney‘s office, we’re here to help.
When is the Million-Dollar Rideshare Insurance Policy Active?
The Moment a Driver Accepts the Assignment
The million-dollar insurance policy is not covering all Uber or Lyft drivers all the time. Rather, it only covers drivers when they are officially on the job. Hanging around waiting for jobs does not count. This means that there is a specific moment when the insurance policy does become active. That moment is when the driver accepts the assignment to pick someone up. If they are hit or if they hit someone on the way to the pick-up, that incident is covered. And if an accident occurs involving the rideshare vehicle while ferrying the client, the damages to all will potentially be covered.
Who Does The Insurance Policy Cover?
The Passengers, and Any Additional Injured Parties, and Sometimes the Driver
Uber and Lyft’s main goals with the insurance policy are to cover liability and damages for passengers and anyone who might be damaged by their drivers. This means that once your trip is accepted and you are on the policy, you are covered, Other drivers on the road are also covered if the accident is deemed the Uber driver’s fault. An Uber or Lyft driver may make a claim on the company policy, but first, their claim has to be rejected by their personal policy with rideshare commercial endorsement.
So again: If you are a rideshare passenger or if you are in another vehicle hit by a rideshare driver, then the Uber or Lyft policies will cover injuries and damages if a strong claim is made. Drivers, however, must jump through hoops to have their injuries or vehicle damages covered by the policy.
My Uber/Lyft Got Into an Accident. Am I Covered by Their Insurance Policy?
Yes, Most Likely
You may be wondering what happens if you sign up for an Uber or Lyft ride, climb into the backseat, and then the vehicle experiences an accident. Are you covered? As mentioned above, the answer is most likely, yes. You are covered by the million-dollar insurance policy and able to make a claim against the rideshare company’s insurance rather than against the driver themselves. You may have no problem with your driver and, in fact, it might not even be their fault.
My Uber/Lyft Driver was Not At Fault. Can I Still Claim my Injuries on the Million-Dollar Insurance Policy?
Yes, They Have Under-insured and Un-insured driver coverage.
Speaking of it not being the driver’s fault, there are plenty of instances where a rideshare vehicle is severely damaged in a crash, not of their own doing. They may fail to slow down too fast or get slammed into by another vehicle.
If you have been injured in a rideshare accident where the injuries were not the fault of your driver, can you still make a serious claim against the insurance? Yes. You can and should. The rideshare million-dollar policy includes coverage for uninsured and overinsured drivers so that passengers can get the settlements they need even when the drivers at fault cannot pay.
Have you been injured in a rideshare accident, or do you know someone who has? If so, contact our office today. We would be proud to help you tackle the complex process of making your rightful claim on that million-dollar insurance policy in order to get the treatment and damages payments you deserve.